In response to the previous fatal landslide accident at the Morowali Industrial Park (IMIP) in Central Sulawesi Province and the resulting regulatory crisis, GEM recently issued an official clarification statement, confirming that the environmental permit for its Indonesia nickel-cobalt project jointly invested with Tsingshan Holding Group has not been revoked, and all rectification work has been fully completed. The project is expected to resume full production soon, completely eliminating market concerns about a prolonged shutdown. The crisis originated from a landslide accident in February 2026. The accident, caused by heavy rain, led to a partial collapse of a temporary waste storage facility at PT QMB New Energy Materials Company (abbreviated as "Qingmeibang"), which is jointly owned by GEM and Tsingshan, resulting in the death of one contractor.
Due to consecutive safety accidents at the Morowali Industrial Park within a year, the Indonesian government immediately launched a comprehensive evaluation process. At that time, market rumors suggested that four Chinese-invested nickel plants, including Qingmeibang, would collectively suspend production for up to three months. The Minister of Environment even publicly stated that they were "considering revoking the project's environmental permit," causing widespread market concern. In response to the regulatory crisis, GEM initiated emergency rectification work immediately after the accident. The company confirmed that, through active communication with relevant Indonesian authorities and comprehensive rectification, the project's environmental permit remains valid, and there is no situation where the environmental permit is revoked, affecting the normal operation of the park. To date, all rectification measures required by the Indonesian authorities have been fully completed, clearing the biggest obstacle for permit retention and production resumption.
Regarding the impact of the accident on production, GEM stated that the accident and subsequent rectification mainly affected the project's high-pressure acid leaching (HPAL) capacity. Although there were earlier reports that the related production lines might face a three-month suspension, with the completion of rectification and the resolution of the permit crisis, the actual production downtime will be significantly shortened. The company is currently accelerating the construction of a permanent waste storage facility to replace temporary facilities, fundamentally improving project operational safety. GEM expects to carry out routine maintenance during the upcoming Eid al-Fitr holiday, after which the project will gradually return to full production capacity.
Despite this unfortunate incident, the overall production performance of the Qingmeibang project in 2026 remains impressive. According to data disclosed by GEM, as of March this year, the project has cumulatively produced nearly 20,000 metric tons of nickel and approximately 1,800 metric tons of cobalt, representing year-on-year growth of 10% and 20% respectively, demonstrating strong production resilience. The completion of rectification and the resolution of the permit crisis will further ensure the stable operation of the project, helping GEM to continue its deep cultivation of the Indonesia nickel-cobalt new energy materials sector.
行业快讯
GEM's Indonesia Nickel-Cobalt Project Rectification Completed, Expected to Resume Full Production
In response to the previous fatal landslide accident at the Morowali Industrial Park (IMIP) in Central Sulawesi Province and the resulting regulatory crisis, GEM recently issued an official clarification statement, confirming that the environmental permit for its Indonesia nickel-cobalt project jointly invested with Tsingshan Holding Group has not been revoked, and all rectification work has been fully completed. The project is expected to resume full production soon, completely eliminating market concerns about a prolonged shutdown. The crisis originated from a landslide accident in February 2026. The accident, caused by heavy rain, led to a partial collapse of a temporary waste storage facility at PT QMB New Energy Materials Company (abbreviated as "Qingmeibang"), which is jointly owned by GEM and Tsingshan, resulting in the death of one contractor.
Due to consecutive safety accidents at the Morowali Industrial Park within a year, the Indonesian government immediately launched a comprehensive evaluation process. At that time, market rumors suggested that four Chinese-invested nickel plants, including Qingmeibang, would collectively suspend production for up to three months. The Minister of Environment even publicly stated that they were "considering revoking the project's environmental permit," causing widespread market concern. In response to the regulatory crisis, GEM initiated emergency rectification work immediately after the accident. The company confirmed that, through active communication with relevant Indonesian authorities and comprehensive rectification, the project's environmental permit remains valid, and there is no situation where the environmental permit is revoked, affecting the normal operation of the park. To date, all rectification measures required by the Indonesian authorities have been fully completed, clearing the biggest obstacle for permit retention and production resumption.
Regarding the impact of the accident on production, GEM stated that the accident and subsequent rectification mainly affected the project's high-pressure acid leaching (HPAL) capacity. Although there were earlier reports that the related production lines might face a three-month suspension, with the completion of rectification and the resolution of the permit crisis, the actual production downtime will be significantly shortened. The company is currently accelerating the construction of a permanent waste storage facility to replace temporary facilities, fundamentally improving project operational safety. GEM expects to carry out routine maintenance during the upcoming Eid al-Fitr holiday, after which the project will gradually return to full production capacity.
Despite this unfortunate incident, the overall production performance of the Qingmeibang project in 2026 remains impressive. According to data disclosed by GEM, as of March this year, the project has cumulatively produced nearly 20,000 metric tons of nickel and approximately 1,800 metric tons of cobalt, representing year-on-year growth of 10% and 20% respectively, demonstrating strong production resilience. The completion of rectification and the resolution of the permit crisis will further ensure the stable operation of the project, helping GEM to continue its deep cultivation of the Indonesia nickel-cobalt new energy materials sector.