Home Blog Unlocking Potential for Nickel in Indonesia Business Setup | Indonesia | Investor KITAS Unlocking Potential for Nickel in Indonesia InCorp Editorial Team 19 May 2025 7 minutes reading time Table of Contents Overview of the Nickel Industry in Indonesia Is Indonesia Rich in Nickel? Regulation of Nickel Business in Indonesia Top Nickel Companies in Indonesia Nickel Business Opportunities in Indonesia for Foreign Investors How to Start a Nickel Company in Indonesia Unlock Indonesia's Nickel Potential with InCorp Indonesia’s nickel industry has transcended its role as a mere mineral resource. It has emerged as a global powerhouse, driving the electric vehicle (EV) revolution and shaping the future of clean energy. As the world’s largest nickel producer and exporter, Indonesia’s strategic position in the international supply chain, vast reserves, growing industrial capacity, and pro-investment environment are all factors investors and industry professionals should be keenly aware of. This article explores the dynamic landscape of Indonesia’s nickel sector, highlights key players driving its growth, and uncovers emerging opportunities for investors looking to tap into one of the most valuable industries of the decade. Overview of the Nickel Industry in Indonesia Indonesia is at the forefront of the global nickel industry. Its vast nickel reserves, mainly in Sulawesi and Maluku, have drawn significant investments from domestic and international companies. Key Indonesia nickel mining companies — such as PT Aneka Tambang (Antam), Merdeka Battery Materials (MBMA), Trimegah Bangun Persada (Harita), and PT Vale Indonesia — are significant players in the industry. They continue to scale up operations to meet rising global demand, especially for electric vehicle (EV) batteries and stainless-steel production. Their contributions are shaping the industry’s future and attracting international interest. However, rapid growth comes with challenges. Nickel processing often relies on coal-powered energy, producing high greenhouse gas emissions. Among the top companies, Vale has taken the lead in reducing its carbon footprint by using hydropower, setting an example for the rest of the industry. Shifting toward clean energy will be essential for ensuring sustainable growth. This commitment to sustainability is a key aspect of the industry’s evolution. Is Indonesia Rich in Nickel? Indonesia is rich in nickel and is the largest producer and exporter globally, accounting for over 40% of global production. Its position as a resource powerhouse has made it critical to the EV battery supply chain. In January 2020, the government banned raw nickel ore exports to increase domestic value and industrialization, pushing international companies to invest locally in smelting and processing facilities. This policy shift has drawn global interest from major players like Tesla, CATL, and LG Energy Solution. As a result, Indonesia has become a cornerstone of the global EV revolution, reinforcing its importance in the future of green technology and the nickel business worldwide. READ MORE:6 Key Insights on Indonesia’s Mining IndustryHow ESG is Redefining Mining Operations in IndonesiaHow Foreign Investors Can Tap into Indonesia’s Downstream Industry Regulation of Nickel Business in Indonesia The Indonesian government has created strong policies to support the growth of the nickel industry: Mining Law No. 4 of 2009 and Omnibus Law No. 11 of 2020 require value-added processing before exports. Companies must process nickel domestically, boosting industrial growth and job creation. Control of primary operations has shifted to state-owned firms like MIND ID to ensure local benefits. The European Union filed a complaint with the WTO, challenging these export bans, but Indonesia remains firm on its industrialization goals. The country aims to be a global hub for nickel-based industries, especially in EV battery manufacturing. Top Nickel Companies in Indonesia Indonesia is home to some of the largest nickel-mining companies, which play a significant role in the country’s industrial development and the global EV battery supply chain. Here are seven of the most prominent players: PT Aneka Tambang Tbk (ANTM) PT Aneka Tambang (Antam) is a state-owned company in Sulawesi and Maluku. Partners with Indonesia Battery Corporation, LG Energy, and CATL to supply raw materials for EV batteries. Produced over 8.6 million wet metric tons of nickel ore in 2019. PT Vale Indonesia Tbk (INCO) A major nickel matte producer in South Sulawesi and part of Brazil’s Vale S.A.. Known for using environmentally friendly technology, Vale produced 71,311 metric tons of nickel matte in 2024. PT Central Omega Resources Tbk (DKFT) PT Central Omega Resources Tbk (DKFT) operates in Central Sulawesi and has a yearly smelter capacity of 100,000 tons of ferronickel. The company plays a crucial role in nickel processing and downstream development. PT Ifishdeco Tbk (IFSH) Based in Southeast Sulawesi, this company focuses on exploration, production, and nickel sales. It reported net sales of IDR 906 billion in 2021. PT Resource Alam Indonesia Tbk (KKGI) Active in nickel and coal mining, with expanding nickel production in Sulawesi. Targeted 600,000 tons of nickel production in 2023. PT Trimegah Bangun Persada (Harita Group) Located on Obi Island, North Maluku, producing 240,000 tons of nickel sulfate annually through its subsidiary Halmahera Persada Lygend. A key supplier for the global EV battery industry. PT Halmahera Persada Lygend (HPAL) It operates in South Halmahera, producing nickel sulfate from limonite ore using HPAL technology. In 2023, it delivered 95,000 tons of nickel, with an annual production capacity of 240,000 tons. Nickel Business Opportunities in Indonesia for Foreign Investors Indonesia offers strong investment potential across all levels of the nickel industry. These sectors highlight Indonesia’s position as a global hotspot for nickel-related investments, especially in the transition to clean energy and electric vehicles. Mining and Resource Development Opportunities exist in both new (greenfield) and existing (brownfield) nickel mining projects. Many sites seek foreign investors to help expand operations and introduce modern, eco-friendly technologies. Nickel Refining and Processing Investors can participate in nickel smelting and refining, including the production of Nickel Pig Iron (NPI) and ferronickel, which are vital for stainless steel. Over 30 smelters are already in operation, and more are being developed. HPAL projects are also growing to supply battery-grade nickel for the EV market. EV Battery and Stainless-Steel Manufacturing Indonesia is becoming a key player in the electric vehicle battery sector, attracting major companies like CATL. The stainless steel industry is also expanding, increasing the demand for nickel-based alloys. Investment in nickel sulfate and other high-value products is another growing opportunity. How to Start a Nickel Company in Indonesia Starting a nickel company in Indonesia involves meeting regulatory requirements and aligning with national development goals. Here are the key steps to get started: Secure the Necessary Licenses To operate legally, you must obtain a Mining Business License (IUP) and register through Indonesia’s Risk-Based Business Licensing system. Partner with Local Stakeholders Collaborating with local businesses or state-owned enterprises such as MIND ID can help streamline operations and ensure regulatory compliance. Invest in Modern Technology Advanced methods like High-Pressure Acid Leaching (HPAL) are essential for producing battery-grade nickel, especially for the growing EV sector. Meet Environmental Requirements The Indonesian government enforces strict environmental regulations. All mining and smelting operations must minimize ecological damage and manage waste responsibly. Guide to Doing Business in Jakarta Mailchimp Free eBook Indonesia Business Insight Subscribe Full NameEmail I have read InCorp's Privacy Policy and agree to InCorp using my information provided to contact me about related content, and services.*Subscribe Unlock Indonesia’s Nickel Potential with InCorp Starting a business in Indonesia’s nickel industry requires more than investment—it demands local expertise, legal compliance, and seamless execution. Whether you’re entering the nickel mining, processing, or EV battery supply chain, InCorp Indonesia (an Ascentium Company) offers professional services to help you establish yourself confidently. Company Registration: Set up your business correctly with expert assistance in obtaining the necessary licenses, structuring your company, and meeting local regulations. Investor KITAS: Secure the legal right to live and invest in Indonesia through the Investor KITAS, which is designed for foreign entrepreneurs and investors. Fill out the form below to ensure your business starts strong, runs smoothly, and scales for the future. Read Full Bio Verified by Daris Salam COO Indonesia at InCorp Indonesia With more than 10 years of expertise in accounting and finance, Daris Salam dedicates his knowledge to consistently improving the performance of InCorp Indonesia and maintaining clients and partnerships. Frequently Asked Questions What responsibilities does a PMA company have in terms of non-tax compliance? In Indonesia, a PMA company is typically required to submit various reports to relevant authorities, such as: Annual financial report Investment realisation report Manpower and employee welfare report Expatriate utilisation report Company loan repot Foreign exchange and prudential principles report However, depending on the business activities and classification relevant authority may require additional reports from a PMA company. What is the difference between PT and CV? You can find the difference below: PT: limited liability company (shareholders are not legally liable for company liabilities) CV: a proprietary company where liability falls on the shareholders How is the process of liquidating a PMA company in Indonesia, and how long does it take? The procedures for (voluntarily) liquidation typically involve the following steps: Conduct a general shareholder meeting to approve the liquidation and the liquidator’s nomination Notify the Ministry of Law and Human Rights as well as the creditors of the liquidation and the distribution plan for the assets by newspaper notice All business licenses and tax numbers should be canceled or revoked; the tax office will conduct a tax audit to revoke the tax number Make sure creditors are paid and that any liquidation funds are distributed to shareholders (if any) Conduct a general meeting of shareholders to approve the liquidator’s discharge and acquittal Notify the Ministry of Law and Human Rights of the liquidation’s outcome. After receiving the notification, the Ministry of Law and Human Rights will deregister the company’s status as a legal entity and remove its name from the Company Registry Release the liquidation’s outcome in a newspaper Completing the liquidation process can take around two years. What duties do investors have when they own shares in a company that has been liquidated? Shareholders must appoint a liquidator during the shareholders’ meeting approving liquidation. If no liquidator is appointed, the Board of Directors assumes the role. Creditors can submit claims within two years of the liquidation announcement, provided there are proceeds available. If proceeds have been distributed, shareholders must return them proportionally to settle creditor claims. Whereas employee termination packages vary based on employee status, service years, and reason for liquidation. Get in touch with us. 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