MIND ID Targets Aluminium Self-Sufficiency with 900,000-Ton Annual Capacity by 2029

JAKARTA, investortrust.id — Indonesia’s state-owned mining holding company, MIND ID, is ramping up its aluminium production capacity to 900,000 metric tons per annum by 2029 in a major push toward industrial self-sufficiency and support for the country’s electric vehicle and renewable energy sectors.

Through its subsidiary PT Indonesia Asahan Aluminium (Inalum), MIND ID is currently operating at an installed capacity of 275,000 metric tons per annum. The group’s President Director Maroef Sjamsoeddin said the planned expansion aims to bridge the domestic supply-demand gap, which currently stands at around 1.2 million tons per year.

Domestic aluminium consumption is projected to increase sixfold over the next three decades, largely driven by the electric vehicle (EV) ecosystem and solar energy manufacturing. Aluminium makes up roughly 18% of an EV battery pack and about 21 tons of aluminium are needed to produce a 1-megawatt photovoltaic solar panel system.

To meet this growing demand, MIND ID is constructing a new smelter in Mempawah, West Kalimantan, with a design capacity of 600,000 metric tons per annum. Combined with Inalum’s existing facility, total national output under MIND ID’s control is expected to reach 900,000metric tons per annum by 2029.

The project forms part of a broader strategy to create a fully integrated downstream aluminium industry, beginning with bauxite mining and refining. At the upstream level, the group has commenced operations at the first phase of its Smelter Grade Alumina Refinery (SGAR) in Mempawah, producing 1 million tons of alumina annually—a key input for aluminium smelting. A second phase of the SGAR project is in preparation and will double the alumina capacity to 2 million tons per year.

PT Aneka Tambang Tbk (ANTM), also under MIND ID, is developing a washed bauxite facility in Mempawah capable of processing 1.47 million tons annually to support the integrated value chain.

During a recent site visit to SGAR Phase I on Thursday, Jul 24, 2025, Maroef Sjamsoeddin, accompanied by commissioners and directors of the MIND ID group, inspected the alumina production process, the construction site for SGAR Phase II, and the planned aluminium smelter.

Maroef emphasized the strategic importance of bauxite, alumina, and aluminium in supporting sustainable manufacturing and energy solutions. He reiterated the group’s ambition to position Indonesia as a global aluminium producer while reducing import dependence.

“MIND ID is committed to driving an integrated aluminium downstream strategy to strengthen Indonesia’s sovereignty in industrial production and renewable energy development,” he said.

He also assured that the expansion would adhere to global standards in sustainability and operational excellence, highlighting improved maintenance, reliability, and responsiveness to market dynamics across MIND ID’s strategic assets.

Beyond technical and operational upgrades, the company is also integrating supporting infrastructure such as logistics systems and ensuring social and environmental sustainability in the Mempawah region.

“For MIND ID, building an integrated aluminium ecosystem is a long-term investment in the nation’s future. We must manage it responsibly, professionally, and with a spirit of transformation so Indonesia can truly industrialize based on its natural resources,” Maroef said.

With demand for aluminium surging across EV and solar power sectors, MIND ID’s strategy aligns with Indonesia’s broader goals of downstream industrialization and energy transition.

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