Section: CRUSU Industry News

Indonesian nickel miner Merdeka Battery Materials (MBMA) and partners have signed definitive agreements to construct a high-pressure acid leach (HPAL) plant on the Morowali industrial park, Sulawesi. The unit will have a nameplate capacity of 90,000 t/a of contained nickel in mixed hydroxide precipitate (MHP). PT Sulawesi Nickel Cobalt (SLNC) will construct and operate the plant adjacent to the existing HPAL plant operated by PT Huayue Nickel Cobalt (HNC). SLNC will source and process laterite nickel ore through a 20 year commercial agreement with MBMA's SCM mine, starting from the commissioning date. An ore preparation plant will be built at the SCM mine to enable ore transportation via pipeline to the SLNC processing plant at IMIP. The total combined investment for constructing SLNC (including interest incurred during construction) is expected to be approximately $1.8 billion according to Merdeka. Construction of the project commenced in January 2025 and is expected to reach commissioning stage within 18 months.

Kuwait’s state owned Kuwait Oil Company (KOC) has issued a tender for companies to bid on construction of the second phase of its gas sweetening facility at booster station BS 171 in West Kuwait. Thirty-two companies have been pre-qualified to bid for the $390 million engineering procurement and construction (EPC) contract for the project. Phase II will involve the construction of two processing trains, each with a capacity to produce 60 million scf/d of sales gas from sour gas with an H2S content of 4%. Sulphur recovery from the project will come from two separate 100 t/d trains with a total capacity of 65,000 t/a of molten sulphur.

Paradeep Phosphates Ltd (PPL) says that it has signed a memorandum of understanding with the government of Odisha state to invest $440 million over five years to increase its phosphate fertilizer production and export capacity, including port/ jetty and infrastructure development. PPL currently has capacity to produce 400,000 t/a of urea and 2.6 million t/a of finished phosphates, via DAP and NPK plants in Paradeep, Odisha, and Zuarinagar, Goa. Details of the expansion were not announced, but the company previously said in December 2024 that it had agreed to expand phosphoric acid capacity from 500,000 t/a to 700,000 t/a to increase backwards integration of production and reduce dependence on imports.

Topsoe has been selected by Guangxi Free Trade Zone Chuangui Lingang New Energy Co., Ltd to deliver technology and services to produce sustainable aviation fuels (SAF) and renewable diesel.

Anglo American and Codelco have signed a memorandum of understanding (MoU) with the aim of jointly developing their neigh-bouring Los Bronces and Andina copper mines in central Chile.

Jordan’s Prime Minister Jaafar Hassan laid the foundation stone for the second phase of Jordan Phosphate Mines (JPMC) new sulphuric and phosphoric acid plants at Al-Shidiya in a ceremony in mid-February. The Phase II expansion aims to increase the sulphuric acid plant's production capacity from 2,200 t/d to 4,450 t/d (1.5 million t/a). The phase will generate an additional 20 MW of energy per hour, with the potential to export 9 MW. The project will also boost the production capacity of the phosphoric acid plant from 900 t/d to 1,600 t/d (equivalent to 550,000 t/a P2 O5 ). Construction is expected to be completed, and operations begun by September of this year. With the expansion of the industrial complex in Aqaba and future projects involving potash and partnerships in the phosphoric acid industry, JPMC plans to increase its local consumption to 70%, while reducing external exports by 30%.

Chevron says that its 50% owned affiliate Tengizchevroil LLP (TCO) has started oil production at its Future Growth Project (FGP) located at the Tengiz oil field in Kazakhstan. FGP is the third processing plant in operation at the Tengiz oil field, which expands sour gas injection capability and is expected to ramp up output to 1 million bbl/d. This milestone follows the completion of the Wellhead Pressure Management Project (WPMP) in 2024, which is designed to optimise the field and processing plants. The FGP expansion aims to increase crude oil production by 260,000 bbl/d at full capacity.

BHP has awarded a significant engineering, procurement, and construction management (EPCM) contract to a joint venture between Fluor Australia Pty Ltd and Hatch Pty Ltd. The A$40 million contract is for the first phase of the proposed expansion of BHP's copper smelter and refinery facilities in South Australia, as the company moves towards a final investment decision on the smelter and refinery expansion, currently anticipated in the first half of FY27. The initial stage focuses on strategic planning and development during the project's study phases. Subsequent stages will cover detailed engineering, procurement, and construction management as the project advances.

LKAB has begun construction of its new demonstration plant for processing phosphorus and rare earth elements at Luleå. The facility is the first in a planned industrial park and, says LKAB, marks an important step in the company's ambition to diversify its business with new minerals. The supply of phosphorus for mineral fertilizers is essential for food security in Sweden and the EU, while rare earth elements are critical for the electrification and digitalisation of society, such as the production of permanent magnets for electric vehicles and wind turbines. The $75 million demonstrator plant is planned to become operational in 2026. The aim is to further develop and verify the process for utilizing material flows from iron ore production in Gällivare, where apatite concentrate is produced for further refinement and production of critical minerals in Luleå. Through a stepwise expansion, the operations can then be scaled up with additional processing facilities over time, aiming for full operation during the 2030s. Once fully operational, the industrial park’s production will be approximately seven times Sweden’s needs and 6% of the EU’s demand for phosphorus in agriculture. Currently, there is no mining of rare earth elements in Europe.

Lithium sulphur battery manufacturer Lyten has signed agreements with California Sulphur Company, at the Port of Los Angeles, and a Port of Stockton company to supply US domestically sourced, industrial-grade sulphur to Lyten’s manufacturing facilities in San Jose, CA, San Leandro, CA, and its recently announced Reno, NV, “gigafactory”.