Beijing, Hong Kong, Jakarta, 3 October, 2013 – China-ASEAN Investment Cooperation Fund (CAF) has signed an investment and financing agreement on 3 October, 2013 to develop a ferro-nickel smelter in Indonesia with Shanghai Decent Investment Group Co. Ltd. and PT Bintangdelapan Investama as partners. The signing was witnessed by the President of People’s Republic of China Xi Jinping and the President of the Republic of Indonesia Susilo Bambang Yudhoyono at the China-Indonesia Business Luncheon held in Jakarta.

The joint venture forms a strong partnership among the 2nd largest stainless steel producer in China, one of the largest nickel miner inIndonesia and CAF to build and operate the country’s largest ferro-nickel smelter. The project is located at the first and newly inaugurated China-Indonesia Industrial Investment and Cooperation Zone. The project will have an annual production capacity of 300,000 tons of ferro-nickel for exports. The investment marks CAF’s first investment in Indonesia and the ninth in ASEAN.

Commenting on the investment, Mr. Li Ruogu, Chairman of both the Export-Import Bank of China and CAF said: “This project sets a milestone to support the growth and sustainability of Indonesia’s heavy industry, particularly the metal refinery industry.” 

“This project is one of the most important offshore investments for Tsingshan Group. We are fully committed to the development of the nickel industry in Indonesia and within the ASEAN region,” commented by Mr. Xiang Guangda, Chairman of Tsingshan Group.

About CAF

The China-ASEAN Fund (CAF) is a US Dollars denominated offshore equity fund approved by the State Council of the Peoples Republic of China and the National Development and Reform Commission. The establishment of the fund is sponsored by the Export-Import Bank of China together with other prominent Chinese and international institutional investors. CAF focuses on investment opportunities in infrastructure, energy and natural resources sectors in order to facilitate sustainable economic growth in the ASEAN, and serves as the pioneer to promote the “South-South Cooperation” between China and the emerging markets, and facilitates the “Going Out” strategy for the Chinese enterprises. The current size for the phase I of the fund is US$ 1 billion and the ultimate target is US$ 10 billion.

About Shanghai Decent

Shanghai Decent Investment Group Co. Ltd. is part of Tsingshan Group which is the largest ferro-nickel producer and the second largest stainless steel producer in China.

About Bintangdelapan Group

Bintangdelapan Group is actively engaged in diversified business operation including nickel mining in Sulawesi Island of Indonesia.