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The important role of ammonium nitrate for the mining industry

Jakarta (MidLand) — Indonesian President Joko Widodo inaugurated the ammonium nitrate factory owned by PT Dahana – PT Pupuk Kaltim in Bontang on February 29, 2024. Ammonium nitrate itself is the main raw material needed in the production of explosives, especially for use in the mining sector.

“The explosives produced by Dahana use ammonium nitrate as the raw material. Like explosives emulsion in cartridge AND bulk emulsion which is widely used in the mining sector,” said Dahana president and director Wildan Widarman in Jakarta (06/03).

Dahana’s explosive products and blasting services are used every day by various industries in Indonesia, from the general mining sector, both metals, minerals and coal; extractive sectors such as the cement industry and andesite mining; construction projects such as dams, tunnels, irrigation, demolition of old buildings, deepening of ports; oil and gas sector for seismic operations; and also military operations.

The presence of the ammonium nitrate factory, which has a production capacity of 75,000 tonnes per annum, will definitely bring a breath of fresh air for Dahana and the sandblasting industry in the country. Why not, currently Indonesia still depends on imported supplies to cover its ammonium nitrate needs.

“The domestic requirement of ammonium nitrate is 580,000 tonnes per year. “79% of the requirement comes from local producers and 21% from imports,” Wildan explained.

This factory is the first ammonium nitrate factory owned and operated by a BUMN supporting energy and industrial independence, especially for domestic explosives, with domestic products with high TKDN and reducing import dependency.

The existence of the ammonium nitrate factory is expected to increase Dahana’s competitive advantage in a market where competition is increasingly fierce.

“The limited domestic supply and high market demand for ammonium nitrate make the existence of this ammonium nitrate factory very important for Dahana’s business growth,” concluded Wildan Widarman.

Pewarta: PR wire
Editor: PR Wire
Copyright © MidLand 2024

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