Nickel, “new promise” modern world

In the modern world, nickel may not be as popular as gold or oil. But behind the small size of the atom, this colored metal keeps great power. It is the main material of stainless steel, electric vehicle battery, up to satellite components. Without nickel, sophisticated phones, electric cars, or wind turbines that are now a clean energy symbol may never exist.

Interestingly, most of the world’s nickel originated from Indonesia’s water soil. According to U.S. Geological Survey (2024), Indonesia occupies the first ranking of the world in the reserve and production of nickel, accounting more than 40 percent of global supply. From Sulawesi to Halmahera, this metal is referred to as “new oil” in the era of energy transition.

One of the main players behind the long history of the Indonesian nickel industry is PT Vale Indonesia Tbk. Founded in 1968 under the name of PT Inco, the company is the results of cooperation between the Indonesian Government and the Canadian origin company.

A number of workers observe the computer screen in the operator's smelter area of PT Vale Indonesia Tbk in Sorowako, Luwu Timur, South Sulawesi

The work shows the results of the water quality test that has been processed in the pelvic water management facilities owned by PT Vale Indonesia (right) and unprocessed water (left)

The main mine is located in Sorowako, East Luwu District, South Sulawesi, an area with beautiful natural landscapes on the edge of Matano Lake. From here the nickel ore laterit is mined and processed using pirometallurgy and smelting technology into the final product in the form of nickel in matte with nickel levels around 78 percent exported to steel plants and batteries in different countries.

PT Vale operates under the Special Mining Business License (IUPK) applicable to December 28, 2035, covering an area of concessions of 118.017 hectares include South Sulawesi (70.566 hectares), Central Sulawesi (22.699 hectares) and Southeast Sulawesi (24.752 hectares). But Vale’s journey is not only a metal production, but it’s also about how the mine industry can run along with the preservation of the environment and community empowerment.

As soon as the mine activity is complete, PT Vale does not let its land gersang. The company planted thousands of endemik Sulawesi trees such as Eboni (Diospyros Celebica), Dengen (Dillenia fiber), Uru (Emerillia tsiampacca), Agathis (Agathis celebica), Kaloju (Caralia braciata), and Bitti (Vitex coffasus) to recover soil conditions and prevent erosion.

The work shows raw nickel seeds in the smelter area of PT Vale Indonesia Tbk in Sorowako Tbk, East Luwubit, South Sulawesi

The work of conducting communication through handy talky in the smelter area of PT Vale Indonesia Tbk in Sorowakonumbera

Until April 2025, Vale has branded 3.819 hectares of land in South Sulawesi, Central and Southeast Sulawesi. Not less than 5,1 million trees have been planted, and 2 million local tree seedlings are located in nursery facilities in three operational areas. Most of the former quarry areas are now transformed into young forests with six-meter trees and biodiversity that began to return. This step shows that the mine industry can benefit economy without compromising ecosystems.

More than 99.7 percent of PT Vale Indonesia’s labor is Indonesian citizens, and about 83 percent originated from East Luwu Regency. Among them, there is an inspirative figure called Kartini, women born Sorowako, April 21, 1984.

Kartini chose an unusual lifeway to the Caterpillar giant dump truck operator (CAT) 777 weighs almost 100 tons. He became a symbol of the struggle of gender equality in the mine world. Nowadays, about 50 women work as a heavy equipment operator in the large-golong Vale mine area in the national mining industry.

Now, the direction of the Indonesian nickel industry shifts to the downstreamization, namely processing raw materials into high value products. In the first semester of 2025, the production of nickel matte PT Vale increased two percent compared to the same period last year from 33.691 tons to 35.584 tons. The company targets production up to 71,234 tons at the end of 2025.

PT Vale also became the development of HPAL-tech nickel processing plants (High Pressure Acid Leaching) which is the project of Indonesia Growth Project (IGP) in Pomalaa, Southeast Sulawesi (valued USD 4.5 billion with Ford and Huayou), and Morowali, Central Sulawesi (USD 2 billion with GEM Co. Ltd), and Sorowako Limonite, South Sulawesi (USD 2,3 billion with Huayou). The projects are estimated to create more than 12,000 jobs to the end of 2025 years.

This technology enables low-level nickel ore utilization to produce lithium-ion battery raw materials, future electric vehicle backbone. Indonesia is preparing to be an important center in the global supply chain of electric vehicle batteries (EV).