PT Merdeka Battery Materials Tbk (MBMA or the Company) reports strong operational improvements for the quarter ending December 31, 2024, marked by significant growth in nickel mining and the achievement of its first Mixed Hydroxide Precipitate (MHP) production.In a written statement from Surabaya on Saturday (8/2/2025), it was stated that the SCM Mine (Sulawesi Cahaya Mineral) recorded its highest-ever quarterly ore production, producing 3.0 million wet metric tons (wmt) of saprolite and 3.4 million wmt of limonite. This represents an annual increase (year-on-year/YoY) of 108% and 110%, respectively.During the quarter, 2.01 million wmt of saprolite ore was delivered to MBMA’s RKEF smelter, while 4.1 million wmt of limonite ore was sold to PT Huayue Nickel Cobalt (HNC), generating unaudited revenue of USD 73.2 million at an average sales price (ASP) of USD 17.9/wmt.In 2024, SCM Mine upgraded and expanded its mining operations and infrastructure, leading to a substantial increase in ore production and a reduction in mining costs. The mine more than doubled its ore production, with saprolite output reaching 4.9 million wmt in FY2024, up from 2.3 million wmt in FY2023. Meanwhile, limonite production totaled 10.1 million wmt in FY2024.This significant increase in ore production was accompanied by notable cost reductions. By the end of Q4 2024, the cash cost of saprolite had decreased to USD 21.6/wmt from USD 28.4/wmt in Q1. Similarly, the cash cost of limonite dropped to USD 9.0/wmt from USD 11.5/wmt in the same period.During the quarter, MBMA’s refineries produced a total of 30,716 tonnes of nickel, consisting of 18,823 tonnes of nickel in nickel pig iron (NPI) and 11,893 tonnes of nickel in high-grade nickel matte (HGNM). This resulted in unaudited revenue of USD 223.8 million from NPI and USD 158.8 million from HGNM, with ASPs of USD 11,887/t and USD 13,229/t, respectively.In FY2024, MBMA produced 82,161 tonnes of nickel in NPI at a cash cost of USD 10,307/t, aligning with the 2024 guidance range. This represents a 26% YoY increase in volume and a 15% YoY decrease in cost. Meanwhile, HGNM production reached 50,315 tonnes at a cash cost of USD 13,547/t, also within the guidance range, reflecting a 66% YoY increase in volume and an 8% YoY reduction in cost.MBMA President Director, Teddy Oetomo stated that the company’s strong operational performance in 2024 reflects its commitment to efficiency, sustainability, and innovation. Entering 2025, MBMA is poised for significant growth, driven by increased nickel ore production, expanded nickel refining capacity, and the operation of HPAL facilities. "This achievement will further strengthen our position as a global player in the battery and electric vehicle value chain," said Teddy.Commissioning activities at the AIM Plant are progressing well. The Pyrite Plant is fully operational, while the Acid Plant has been running since April 2024. In Q4, the Acid Plant achieved its highest production levels, generating 164,985 tonnes of acid and 225,036 tonnes of steam. The construction of the Chlorine Plant has been completed and is now in the commissioning stage.The Copper Cathode Plant is in its final construction phase, with partial commissioning having started this quarter. In December 2024, PT ESG New Energy Material (PT ESG) successfully produced its first batch of mixed hydroxide precipitate (MHP), marking a key milestone in MBMA's strategy to develop downstream battery materials.
Source https://djakarta-miningclub.com