Freeport Indonesia Signs Silver and Lead Supply Deal with Stania
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BATAM, Investortrust.id — PT Freeport Indonesia has signed a preliminary sales agreement with local manufacturer PT Solder Tin Andalan Indonesia (Stania) to supply refined silver and lead for solder production. The Heads of Agreement (HoA) was signed in Batam on Tursday, July 10, 2025 and marks a significant step in Indonesia’s ongoing efforts to strengthen its domestic downstream metal industry.
The agreement, formalized by Freeport Indonesia President Director Tony Wenas and Stania Director An Sudarno, covers the annual delivery of approximately 10 tons of silver and 250 tons of lead. Both metals are produced at Freeport’s Precious Metal Refinery (PMR), a facility that processes by-products from its mining operations.
Wenas emphasized that the agreement reflects Freeport’s support for Indonesia’s industrialization goals.
“Freeport produces silver and other by-products like lead. These will now be supplied to Stania for solder tin production,” Wenas said. “We aim to meet growing domestic demand for refined metals and continue to encourage the development of the local industrial ecosystem.”
PMR Capacity and National Industrial Strategy
Located in East Java, the PMR has an annual refining capacity of 50 tons of gold, 200 tons of silver, and small quantities of platinum group metals—around 30 kilograms of platinum and 375 kilograms of palladium.
Freeport has already begun producing silver bullion from the facility. By the end of 2025, it expects to produce 100 tons of silver and up to 2,000 tons of lead, exceeding the volume committed in the HoA.
Wenas added that beyond Stania, Freeport is actively seeking more domestic partners to absorb its refined products, including those connected to the electric vehicle (EV) ecosystem.
“We hope that this partnership inspires other industries to utilize domestically refined metals so the EV value chain can materialize as envisioned by the government,” he said.
Stania’s Commitment to Domestic Sourcing
Stania Director An Sudarno welcomed the agreement, calling it a strategic move toward self-sufficiency in Indonesia’s tin solder sector.
“Silver and lead are essential alloys in solder tin manufacturing. With this deal, we ensure a stable domestic supply—250 tons of lead and 10 tons of silver annually—to support our production needs,” Sudarno said.
He also stressed that sourcing locally aligns with the national agenda to reduce reliance on imported materials.
“This partnership strengthens our business and supports the government’s push to build a robust domestic supply chain. We are proud to be part of this national effort,” he said.
The signing was witnessed by Deputy Minister for Investment and Downstreaming Todotua Pasaribu, along with Arsari Group Chairman Hashim Djojohadikusumo and PT Arsari Tambang President Director Aryo Djojohadikusumo, underscoring high-level government and industry support for the initiative.