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POLRES KARAWANG – Kepala Kepolisian Resor Karawang Polda Jabar AKBP Arif Rachman Arifin S.I.K.M.H. dampingi kunjungan KaBaintelkam Komjen Pol Ryco Amelza selaku Kabaintelkam Mabes Polri PT. Multi Nitrotama Kimia (MNK) Cikampek di Kawasan Industri Kujang Cikampek (KIKC) Desa Kalihurip Kecamatan Cikampek Kabupaten Karawang. Kamis tanggal 06 Agustus 2020, pukul.10.35 wib s.d 12.52 Wib.

Kabaintelkam Polri bersama dengan Waka Baintelkam Polri  Irjen Pol Suntana, Wadir Kamneg Baintelkam Polri Kombes Pol Haryanta, Kabid Yanmas Kombes Pol Gunawan, Kasubid Sendak Kombes Pol Didi, Korspri/Kanit Handak, Ipda Agung, Aiptu Juli Prabowo, Staf Kabaintelkam 3 personel, Staf Waka Baintelkam 3 personel.

Ikut hadir  Dit Intelkam Polda Jabar, Kombes Pol Dedy Kusuma Bakti SIK,M.T.C.P Direktur Intelkam, AKBP Acip SE Kasubdit Kamneg. Kompol M.A.Taufan,SH.,MH Kasi Yanmin, Kompol Tri Prabowo Kanit II Subdit Kamneg, AKP Aep Saepudin(Kanit I Subdit Kamneg), Ipda Asep Saepudin Pamin Yanmin, Aipda Deni Supriadi Banit II Subdit Kamneg), Brigadir Ferry Yustika (Ajudan Dir Intelkam), Bripda Reynaldi  Driver Dir Intelkam, Bripda Ronald Badit Intelkam, Bripda M.ARIEF (Banit II Subdit Kamneg)

Dalam kegiatan tersebut Kapolres Karawang didampingi oleh Kasat Intelkam Polres Karawang AKP Rezky Kurniawan SIP, kapolsek Cikampek AKP Endar Supriyatna S.Kom SIK. baur Handak dan Pam Obvit Aipda Yanyan Suparman, serta Intelkam Polsek Cikampek.

Rombongan kunjungan diterima oleh Direktur Utama PT.MNK Sdr.Ratno Paskalis, Direktur Teknik dan Produksi PT.MNK Sdr.Cucuk Salahudin, GM PT.MNK Sdr.Agus, Manager Sefety EHS PT.MNK dan PPIC PT.MNK.

Kunjungan tersebut bertujuan guna lakukan Pengecekan PT. MNK Cikampek selaku produsen bahan peledak jenis Ammonium Nitrate (AN), Nitrid Acid (NA) dan Ammonium Nitrate and Fuel Oil (ANFO) guna antisipasi kejadian serupa di Libanon.

Dimana PT.MNK Cikampek terletak didalam Kawasan Industri Kujang Cikampek (KIKC) merupakan perusahaan yang berdiri pada tahun 1989 bergerak dibidang produsen Ammonium Nitrate dengan produksi 120.000 ton/tahun dan tidak menyimpan Ammonium Nitrate dalam jangka waktu lama karena hasil produksi langsung dikirim ke gudang PT.MNK di Kalimantan Timur dan Kalimantan Selatan serta memenuhi kebutuhan pengguna akhir dan bersifat masih bahan baku.

Kegiatan pengecekan meliputi pengecekan terhadap lokasi produksi dan gudang penyimpanan hasil produksi handak dan penyusunan penyimpanan serta jarak aman dengan lingkungan.

Terpisah, dalam keterangannya Kapolres menerangkan Kegiatan tersebut dalam rangka mengantisipasi dalam melakukan pengamanan penyimpanan bahan peledak jenis Ammonium Nitrate pasca kejadian kebakaran gudang Ammonium Nitrate yang mengakibatkan timbulnya ledakan dan korban jiwa di Beirut Libanon. ujar Kapolres kepada Tribratanews.

Sumber berita : https://tribratanewskarawang.com/kunjungan-kabaintelkam-polri-pt-multi-nitrotama-kimia-mnk-cikampek-di-kawasan-industri-kujang-cikampek/

PIKIRAN RAKYAT – Ledakan dahsyat yang terjadi di Beirut, Lebanon telah mengguncang perhatian dunia, tak terkecuali masyarakat Indonesia. Kejadian tersebut tak pelak menimbulkan kekhawatiran akan munculnya bahaya serupa di tanah air.

Konon, ledakan di Beirut, Lebanon berasal dari gudang amonium nitrat (NA) yang sudah tersimpan bertahun-tahun. Informasi tersebut semakin menambah kekhawatiran masyarakat Indonesia karena di Indonesia terdapat pabrik yang memproduksi NA.

Pabrik tersebut bernama PT Multi Nitrotama Kimia (MNK) yang berlokasi di Desa Dawuan, Kecamatan Cikampek, Kabupaten Karawang, Jawa Barat. MNK merupakan anak perusahaan PT Pupuk Kujang yang dibangun 1989 dan mulai beroperasi 1990.

MNK mampu memproduksi NA sebanyak 9000 hingga 10000 ton per bulan. Produksi sebanyak itu khusus untuk memenuhui kebutuhan dalam negeri saja.

“AN itu bisa dibuat bahan peledak, pupuk, atau gas gelak untuk kebutuhan bius di rumah sakit ketika pasien akan operasi,” ujar Direktur Produksi MNK, Cucuk Salahudin, di kantornya, Kamis 6 Agustus 2020.

Saat ini, lanjut Cucuk, NA produksi MNK hanya konsumsi dalam negeri yakni untuk bahan peledak Bahan peledak pertambangan batu bara di Kalimantan dan granit di Karimun. Namun tidak tertutup kemungkinan NA produk NA bakal diolah menjadi pupuk NPK.

“NA merupakan bahan baku yang bagus untuk pupuk. Oleh karena itu, produksi NA di dunia 75 persen digunakan untuk pupuk, selebihnya untuk bahan peledak dan kebutuhan lainnya,” ujarnya.

Cucuk tidak menampik NA produk MNK sebelum disalurkan ke konsumen disimpan di dalam gudang yang ada di sekitar pabrik. Namun, gudang NA dijaga bak merawat bayi.

Setiap saat suhu gudang dikontrol. Penyimpanan NA di gudang pun tidak boleh lewat dari sebulan. “Kondisi gudang dipantau selama.24 jam. Selain itu di dalam gudang tidak ada benda lain, selain NA,” katanya.

Dijelaskan juga, MNK memiliki gudang penyimpanan dengan kapasitas maksimal 5000 ton. Storage ini memiliki standar quality Control yang sangat tinggi.

Mulai dari suhu yang tidak boleh lebih 32 derajat celcius, dilengkapi dengan sprinkler yang akan menurunkan suhu di storage, steril dari bahan kimia dan organic yang dapat mengkontaminasi kualitas dan keamanan produk NA.

Menurut Cucuk, selain adanya kualitas kontrol internal dengan penerapan ISO 9001, 14001, 18000 dan SMK3, perusahaan pun diperiksa secara berkala oleh pihak kepolisian terkait penyimpanan.

Cucuk memastikan kandungan AN yang diproduksi pabrik MNK sangat aman karena melalui Qality Control yang sangat ketat mulai dari produksi, pengolahan, penyimpanan, hingga pendistrubusian ke konsumen.

Selama tidak adanya kontaminan seperti dengan zat pemicu reaksi ledakan (seperti panas, benturan, gesekan ataupun zat kimia dan organic) AN merupakan bahan yang sangat aman seprti halnya butiran pupuk. Sehingga, lokasi storage PT MNK dipastikan aman dan steril dari bahan lainnya khusunya kontaminan.

Sebagai informasi, lanjut Cucuk, produk AN PT MNK tidak pernah lebih dari 14 hari berada di gudang pabrik. Setelah itu langsung diambil atau dikirimkan kepada konsumen.

Masih menurut Cucuk, AN masih dinyatakan aman selama 6 bulan jika masih tersimpan sesuai standar penyimpanannya.***

Sumber berita : https://www.pikiran-rakyat.com/jawa-barat/pr-01654720/ledakan-beirut-pabrik-amonium-nitrat-ada-di-indonesia-pt-mnk-disimpan-di-gudang-dipastikan-aman?page=3

Menjawab tantangan industri bahan peledak produk dalam negeri mampu dilewati MNK sebagai perusahan nasional. Dengan didukung tenaga kerja berkualitas dan mengedepankan safety yang menjadi kriteria.
PT Multi Nitrotama Kimia (MNK) sebagai perusahan dalam negeri berkembang dari awal sebagai perusahaan manufaktur Ammonium Nitrate (AN), sampai menjadi manufaktur Non-Electric Detonator dan perusahan jasa peledakan yang disegani. Tidak diragukan lagi jika menjadi salah satu pemain penting di industri peledakan komersial Indonesia.
Jasa peledakan pada industri pertambangan merupakan bagian proses penting dalam penambangan . Dengan teknologi dan sistem peledakannya yang mumpuni dipastikan akan memudahkan proses produksi penambangan.
Perusahan nasional kini berperan besar terhadap keberadaan industri peledakan ini, dimana pada awalnya teknologi dan sistem peledakan didominasi oleh pemasok dari luar negeri. Namun kini, MNK sebagai salah satu perusahan dalam negeri telah mampu melakukan total blasting service termasuk dalam pembuatan bahan peledak emulsion di jobsite dan kemudian berencana akan melakukan ekspansi produk berupa pembuatan booster dan cartridge explosives.
Dimulai pada tahun 1987, PT Multi Nitrotama Kimia (MNK) mulai merintis usahanya dalam jasa peledakan dengan membangun pabrik untuk memproduksi Amonium Nitrat sebagai bahan baku utama untuk proses peledakan pertambangan.
Seiring dengan perkembangan usahanya, tepat pada tahun 2000 PT MNK melakukan terobosan dengan memperluas ruang lingkup bisnisnya dengan Explosive Manufacturer & Mining Services, yang meliputi : produksi, penyimpanan, pengangkutan dan pemuatan bahan peledak ke dalam lubang hingga memproduksi aksesoris peledakan.

Hal ini sebagai jawaban atas tantangan pasar industri peledakan yang mampu dilakukan oleh perusahaan dalam negeri. Dengan cakupannya,PT MNK memiliki jasa peledakan yang terintegrasi dan mengukuhkannya bersanding dengan perusahaan lain sebagai pemimpin pasar industri peledakan untuk jasa pertambangan Indonesia.

Kepemilikan pabrik perakitan Detonator NonElectric, yang berada di Handil, Kutai Kartanegara, adalah bukti eksistensi MNK untuk dapat mensuplai produknya lebih meningkat,sesuai anjuran dari Kementrian Pertahanan yang membatasi kuota impor dan mengutamakan produk dalam negeri untuk dikonsumsi bagi industri domestic, hal ini cukup menguntungkan MNK sebagai produsen detonator. Hal ini membuat pabrik detonator dalam negeri mendapat kesempatan untuk lebih mandiri dan berkembang.
Tidak dipungkiri,pada saat ini MNK sedang melakukan pembenahan pada usahanya mengingat meningkatnya permintaan,dan pada saat ini sedang mempersiapkan perizinan untuk perluasan usaha untuk memproduksi booster yang ditargetkan pada tahun 2020 akan terealisasi.
Selain pabrik Ammonium Nitrate yang mempunyai kapasitas 140.000 ton per tahun,MNK juga memiliki pabrik Ammonium Nitrate Fuel Oil (ANFO) di Cikampek,Jawa Barat untuk melayani customer dari kuari-kuari yang menginginkan produknya secara langsung.
Tidak berlebihan jika Wawa Jaka Sungkawa, Director of Sales & Services PT MNK mengungkapkan harapannya, “Menjadi perusahaan bahan peledak nasional yang menjadi pemimpin di bidang usaha jasa peledakan”.
Ungkapan ini dibuktikan dengan peningkatan yang signifikan akan produk Ammonium Nitrate 93.500 ton di tahun 2017,menjadi 110.500 ton pada tahun 2018. Cukup meningkat tajam jika dibandingkan dengan penjualan yang diperoleh pada tahun 2017.
Kontribusi MNK tidak terbatas pada pertambangan semata,namun seiring meningkatnya kegiatan infrastruktur yang membawa MNK mampu berperan serta dalam menyelesaikan pekerjaan jasa peledakan dibidang konstruksi. Pada bidang ini, konstribusi yang dilakukan adalah suplai bahan peledak untuk konsumsi dalam pembuatan terowongan pada pembangunan bendungan pada pembangunan infrastruktur di Indonesia.

Sejauh ini banyak perusahaan yang telah menggunakan jasa MNK antara lain, PT Freeport Indonesia, PT Amman Mineral Nusa Tenggara, PT Adaro Indonesia, PT Pamapersada Nusantara, PT Kideco Jaya Agung, PT Putra Perkasa Abadi dan juga PT Hasnur serta perusahaan lainnya.
Secara persentase 90 persen pengguna jasa MNK adalah pertambangan, dimana batu bara cukup dominan yaitu sebesar 70 persen sedang mineral pada angka 20 persen,kemudian 10 persen adalah bidang infrastruktur. Wawa mengungkapkan program perusahaannya untuk tetap dapat memberikan pelayanan terhadap customer-nya seperti, peremajaan asset pabrik pembuatan bahan peledak emulsion atau On-site Emulsion Plant serta kendaraan pencampur bahan peledak atau Mobile Mixing Unit.
Disamping peningkatan kualitas sumber daya manusia,efisiensi proses logistic untuk menjamin pengiriman tepat waktu kepada customer adalah hal yang sangat serius diperhatikan.
“Untuk memenuhi seluruh kebutuhan customer,kami meningkatkan kapabilitas manufactur dengan penambahan jenis dan variasi produk seperti booster dan cartridge explosive,” imbuh Wawa.
Wawa pun berharap dapat terus mendukung para customer khususnya perusahaan pertambangan dan bisa berkontribusi secara penuh dalam meningkatkan target produksi mereka, Seperti harapan customer yang menginginkan full blasting services. sehingga MNK pun melakukan pelayanan dengan delivery material terjadwal dengan baik.
Untuk lebih meningkatkan efisiensi kerja , MNK fokus melakukan peningkatan penguatan operasional secara end to end solution usaha jasa pembuatan dan peledakan kegiatan pertambangan batu bara dan mineral dengan didukung tenaga kerja local yang berkualiatas dan pengalaman pada bidang peledakan.
“Harapan kami selanjutnya adalah stabilnya harga komoditas tambang agar industri pertambangan bisa terus bergairah,” ujar Wawa.
Tambang Bawah Tanah
Wawa mengakui pada saat ini perusahaannya sedang menjajaki kerjasama dengan perusahaan bahan peledak dari Perancis yang mempunyai teknologi peledakan tambang bawah tanah serta pengalaman yang cukup lama, Untuk menawarkan program serta kemampuannya dalam pengerjaan peledakan tambang bawah tanah.
Program pengerjaan yang ditawarkan ini sudah melalui penjajakan dan analisa menurut Wawa, sangat berguna sekali bagi perusahaan tambang bawah tanah khususnya dalam peningkatan produksi serta pengurangan cost.
Penawaran dari teknologi peledakan bawah tanah ini sebelumnya sudah dipresentasikan kepada pihak Freeport, yaitu mengenai Secondary Blasting dan peledakan development.
Mengingat kegiatan ini penuh risiko, maka operasionalnya akan menggunakan peralatan remote control yang diyakini cukup aman.
Bahan peledak kegiatan bawah tanah ini menggunakan booster dan detonator, seperti disebutkan diawal, pabrik booster yang akan dibangun selain untuk peledakan tambang terbuka baik batu bara maupun mineral, pengadaan booster dirancang untuk men-support kegiatan bawah tanah.

PT Multi Nitrotama Kimia (MNK), Indonesia’s leading provider of mining explosives and blasting services, now expands its business to explosive accessories after officially operating its detonator assembly plant in East Kalimantan recently. So far, the company has focused on ammonium nitrate (AN) production.

MNK built the detonator assembly plant on a 29-hectare plot of land in cooperation with Dyno Nobel, a global leader in commercial explosives. MNK aims to strengthen its grip in domestic commercial explosive industry and reduce Indonesia’s high dependency on imported explosive accessories products.

“The detonator assembly plant is our first step to becoming an explosive accessories producer in Indonesia. So far, we only produce ammonium nitrate for blasting activities in mining industry,” MNK’s President Director Charles Daniel Gobel said recently. The company, he added, will develop other explosive products in the plant.

Local manufacturing plants enable MNK to ensure security of supply through its extensive customer distribution network. For ammonium nitrate, MNK has manufacturing plant in Cikampek, West Java province.

Timbul Siahaan, Director General of Defense Potential at the Ministry of Defense, witnessed and inaugurated MNK’s new plant, which is located in Handil, Muara Jawa regency. Timbul said the government fully supports development of domestic explosive accessories as it will help Indonesia gain autonomy in commercial explosive products.

“We want to reduce imported products by substituting them with domestic products. Currently, the ratio of imported products versus domestic products is about 30 percent to 70 percent. We expect the share of domestic products will reach 90 percent or even 100 percent in the future,” Timbul said.

As an integrated explosive provider, MNK is the only company that owns a full range of licenses to operate commercial mining explosives businesses, which makes MNK a unique company that can offer end-to-end blasting solutions.

Wawa Jaka Sungkawa, Sales and Services Director of MNK, said that the company has set an initial production target at 2.3 million pieces of detonators per annum. “It will gradually be increased to up to 6 million pieces per annum,” he said. The total domestic demand of detonator is approximately about 12 million pieces per annum.

MNK has invested about US$3 million to develop the long-awaited detonator assembly plant, Wawa said.

After the inauguration, Timbul reminded the company management to submit its production and distribution plans to the government. The plans will determine the MNK’s production quota in 2017, which will be set by the government.

Inside the new plant, there are two detonator production lines which will produce up to 2.3 million pieces of detonators per annum. Dyno Nobel provides the detonator assembly technology for the plant. Both manual and automatic technologies, which have been developed since 1960s, are in place in the facility.

During a sight-seeing around the new plant MNK took visitors to the testing ground to have a first-hand look on how the MNK detonator, or MNK Det, works. As it turns out, the detonators work well without misfire. The company also has an explosive accessories warehouse in the area.

MNK, with comprehensive supply chain throughout Indonesia, serves leading mining firms in the country, among others PT Kideco Jaya Agung and PT Pamapersada Nusantara. MNK has over 20 years of proven track record in producing Ammonium Nitrate (AN) and has recently expanded its production capacity to 150,000 tons per annum.

Itham Setiawan, Senior Blasting Officer of PT Kideco Jaya Agung, welcomes the operation of MNK’s detonator assembly plant. He said Kideco has so far been importing detonators for blasting activities.

“Imported products are relatively expensive and force us to spend longer time for logistic procedures,” he said. Itham hopes the new plant will enable MNK to offer more competitive price for explosive accessories and create other innovative products.

Welcoming the operation of MNK’s detonator assembly plant, Hendri Guyjaya, Procurement Manager of PT Pamapersada Nusantara, says security of explosive accessories supply matters. “There is certain period at the end of the year when explosive accessories supply in the market is very rare,” he said.

Hence, Hendri hopes MNK to provide security supply of explosive accessories for domestic market. Pamapersada procures 70 percent of explosive products from abroad, he said. “We have been waiting for so long to have domestic explosive accessories producer, and MNK has fulfilled it,” he said.

Hendri said domestic manufacturing of explosive accessories would benefit many as it would absorb local workforce and exempt buyers from import tax. “From the economic perspective, the plant allows us customers to reduce blasting costs,” he said.

PT Multi Nitrotama Kimia (MNK), Indonesia’s leading provider of mining explosives and blasting services, has entered  the underground blasting services for tunneling in hydropower projects as part of market diversification strategy amid the lingering mining industry downturn.

MNK sees demand for blasting services from the coal industry to stay low as mining companies delay expansion plan, or even slash down coal production target. The drop in coal prices has pushed the miners down to rock-bottom level and forced them to take survival mode.

“We try to catch up with the market demand. When the mining sector is weakening, we still maintain our existence but also look for opportunities in other sectors because we do not know when the situation will improve,” MNK’s President Director Charles D. Gobel said to CoalAsia recently.

Incorporated in 1987, MNK has been granted permit to produce and distribute explosives since 1991. The production of ammonium nitrate (AN), which is the raw and main material to make explosives, began in 1990. The company has now maintained itself a key provider of explosive services for mining companies.

MNK intensifies communication and maintains strong partnership with its customers in mining industry by supporting their efficiency initiatives and helping to find ways to survive in the current situation.

“However, we also want to diversify our business to other sectors, particularly quarry and underground tunneling for hydropower projects,” MNK’s Sales & Services Director Wawa Jaka Sungkawa said.

Blasting services for tunneling in hydropower projects is part of MNK’s initiative to tap new opportunities in other sectors than mining. The company also realizes the lucrative business in infrastructure projects, such as hydropower and road.

“Blasting service for tunneling in hydropower project is the same as underground mining. We are currently running some tunneling projects in Cianjur, Aceh and Medan. We are also discussing plan for tunneling project in Jambi,” Wawa said.

The tunneling in hydropower and roads projects require more efficient drilling and blasting services as it has to break through hard rock formations. Drilling and blasting for tunneling projects, according to Charles, will not be effective in soft rock formation as it keeps collapsing.

Amid the current weak demand for AN in the mining sector, MNK tries to target new markets by selling nitric acid, a raw material of AN production, for the chemical industries. MNK produces nitric acid and gets ammonia supply from fertilizer firm PT Pupuk Kujang. The processing of nitric acid and ammonia produces AN.

MNK also eyes market opportunities in quarry for blasting services as infrastructure development, particularly roads, needs stones supply from quarries. Manual mining in quarry, according to Charles, only works for small scale mining but large scale quarry requires blasting services to be competitive.

In addition, MNK is currently developing a non-electric detonator (Nonels) assembly plant at the Integrated Explosives Center in Handil, East Kalimantan province. Initial production capacity is targeted at 2.3 million pieces of accessories per annum.

Nonels can be used either in open mining (surface mining), or in underground mining such as in gold, nickel, coal and other mineral mines. “We will soon be able to produce nonels,” Wawa said.

Technical services

As the only integrated commercial explosive company in Indonesia, MNK provides end-to-end explosive solutions that cover from explosive supply to blasting services. The company owns two explosive plants namely MNK-1 and MNK-2 and also full range of licenses for producing and transporting explosives in the rigidly-regulated industry.

“We have highly competent experts and provide technical services for our customers who currently implement efficiency initiatives. In fact, our technical service is free of charge,” Wawa said.

Technical services of MNK cover technical assistance for customers in determining the explosive requirement and application for specific project. Prior to blasting phase, MNK conducts technical analysis, such as rock characteristic, blasting pattern and spacing burden in order to achieve more optimal blasting result.

“For blasting, we should not use too much explosives as it may cause unexpected fragmentation and inflict more  costs for customers,” he said, adding that MNK also offers tailor-made blasting solutions. The technical service provides added-value for customers as it offers precise explosive requirement for blasting.

In coal mine blasting, for example, the fragmentation will determine the cost structure of coal processing in crusher plant. If the size of coal is too big, the crusher will work harder that will consume more fuel and spare parts. On the other hand, if the size of coal is too small, the crusher will not work optimally.

MNK aims to support its customers by providing more efficient and optimal drilling and blasting which eventually reduces total production costs. A more efficient mining company means greater competitiveness.

“This is part of MNK’s corporate transformation from a merely explosive supplier company to an integrated commercial explosive company,” Charles said.

Oversupply market

Unfortunately, Charles said that the domestic explosive industry has been hard hit not only by weak demand from the mining sector, but also oversupply situation in the market.  versupply of explosive materials according to Charles, also occurs globally due to the low commodity prices environment.

Charles revealed that Australia has 500,000 tons per year of AN excess supply and China has 1.5 million tons per year of AN oversupply. For Indonesia, he said that domestic AN consumption was 400,000 tons and the total domestic production capacity was 500,000 tons in 2015.

“The economic-scale of Indonesia’s explosive market is more than enough and it is expected that AN consumption trend will keep declining in 2016,” he said. Amid low commodity prices, according to Charles, mining companies prefer suspending their expansion plans, or even reducing their activities.

Charles also highlights the relatively low utilization of national AN production capacity due to oversupply condition in the domestic market, worsened by the inflow of import. “The national AN producers utilization is only about 50 percent,” he said.

The number is derived from total domestic consumption of 400,000 tons in 2015 subtracted with 130,000 tons of AN imports and the result is 270,000 tons. The 270,000 is a little more than 50 percent of total domestic production capacity at 500,000 tons per year.

Wawa confirms that the oversupply condition and inflow of imports have negatively affected the local AN producers. “We want the government to help local companies by temporarily stopping AN import and to reopen it when the AN demand recovers,” he said.

With a good, proven corporate values and practices, PT Multi Nitrotama Kimia has established itself as Indonesia’s leading trader and producer of ammonium nitrate, as well as a solution provider in explosive services for mining companies.

As a domestic company,PT Multi Nitrotama Kimia (MNK) is known today as a company noticeably from other firms not least due to its pioneering innovations and technical expertise in mining services for miners, but also because of its corporate culture and governance. Good corporate values and practices have also transformed the figure of MNK as true solution provider in the mining sector, the company’s President Director Dharma Djojonegoro said.“There was the time for MNK known as a producer of a trader and producer of ammonium nitrate(AN), an essential explosive material used in mining activities, but nowthe company has transformed as asolution-oriented company offering various integrated services to mining companies,” he said He added with a 26-years experience, MNK had established itself as a prominent company with competitive strengths and advantages. “Mining explosives is a high barrier-to-entry industry, protected by regulations and limited feedstock.And here we are. As a domestic firm, we have successfully demonstrated MNK a reliable company, in which the company holds a critical and integral part of the mining value chain for big players in the mining sector in Indonesia,” he said.MNK, he added, was unrivalled with more than two decades ofexperience in its business line,supported with proven technology.

Business lines

Incorporated in 1987, MNK was granted to produce and distribute explosives since 1991. The production of ammonium nitrate, which is the raw and main material to make explosives, began in 1990. Ammonium nitrate is the main material to make explosives and should be first mixed with fuel oil and  processed into ANFO (AmmoniumNitrate Fuel Oil). As a detonator, it isplanted underground and used with

a fuse.In addition to AN, used as one ofthe raw materials to open mining areasby mining companies and contractors, MNK also makes nitric acid (NA), the raw material for AN, also used for the production of organic synthetics (dyes, nitrate cellulose, polyurethane)  and in metallurgy (steel etching, pickling) In trading, MNK’s business include AN, emulsion, which is a derivative of AN product, generally used for blasting activities on wet lands; and accessories for explosives including dynamites, detonators and bulk explosive. “The company is equipped with an American technology to in NA production and French technology in AN production,” said Dharma Djojonegoro. In addition to explosives and accessories supplies, MNK also offers on-site blasting services at the mining areas. This is part of the integrated mining service of the company. Other services include down-thehole (DTH); blasting consulting and technical services; and mobile mixing unit. The latter is a mobile setting  unit to process bulk explosives at the mining pit. The company has now maintained itself a key provider of explosive services for mining companies. Today MNK is servicing most of the big mining companies in the country “In recent years, MNK is known as a total-solution provider. We are not only producing or trading AN, but extending solution-oriented services for its customers,” said Commercial Director Alex Djajadisastra, adding the company was like a one-stop service operator in the mining sector. He added that in ammonium nitrate production, MNK is the market leader if the Indonesian AN market, servicing leading miners in the country.

Facilities and services

The company has completed a second facility, increasing annual production capacity to 140,000 metric-tons and ensuring supply reliability; which has boosted MNK’s competitive strength and advantage. The company also has a comprehensive supply chain network to guarantee AN supply reliability to its customers across the archipelago. “In term of feedstock security, MNK has secured long term supply of ammonia, the critical feedstock in AN production from PupukKujang until 2018,” said SaptoAriyono, the company’s Technical & Production Director. As a company now also focusing on solution, MNK provides integrated and customized end-to-end services to the mining companies. It various services including providing supporting equipments and services for activities in the field, especially the detonation process in mining locations. The works are handled by skilled workers and professional experts.

The Jakarta-based company has an extensive array of blasting accessories and is currently upgrading supply capability through an integrated explosive center. MNK has a number of facilities producing nitric acid with a capacity of 150,000 metric tons and ammonium nitrate 140.000 metric tons, respectively. The company has as well a warehouse in Samarinda and another production facility in Cikampek of West Java, with a total capacity of 12.000 metric-tons of AN and in Marunda (6,000-metricton capacity). There are other facilities located in Jakarta (Handil, East Kalimantan) (accessories’ warehouse), and Banjarmasin of South Kalimantan (6.000 metric-ton capacity). To improve the image of MNK as an integrated mining service provider, the company is now constructing a detonator assembly plant in Handil, East Kalimantan. “Completion is scheduled in October this year. The facility will have a capacity of 3 million pieces per year,” said Alex Djajadisastra.

Values and practices

MNK has so far been enjoying the good opportunity, enabling it to take advantage of the robust growth in the mining sector in Indonesia. The company currently controls over 30 percent of the country’s market share for explosive materials. The company will continue with its expansion plan to meet the rising demand for explosives, in which the domestic demand is expected to reach 600,000 metric tons this year with growing rate at an average of 7 percent annually. However, since the company now also focuses on solution and integrated services, MNK has also prepared improved human investment  or personnel in the services and operational units. The transformation has also been taking place internally, underlining the company’s corporate culture and governance. “That’s why, in addition to increasing production and improving services, MNK will keep on improving its personnel to meet the challenge and harsh competition of the industry,” said Dharma Djojonegoro. MNK employs over 500 personnel. As the company is committed to providing reliable quality delivery and service with continuous focus on safety, it’s important to improve and develop the human resources and company’s values and good practices.“Maintaining the values and practices and developing them in a sustainable manner is extremely important to us. After all, long-term success can only be built on strong corporate cultural basis,” said Dharma Djojonegoro. He added that MNK now applies five guidelines for the personnel to maintain the company as a prominent firm in Indonesia. “This is for good corporate culture and governance. The five guidelines include care to the company; good teamwork; customer focus; solution oriented; and continues excellence,” hesaid. He added MNK had standards or values, an essential part of the company“ By applying values in what we practice as a corporate, we create and maintain a healthy corporate culture, so MNK will stay as a leading firm with world-class capabilities and talent, he said, adding that the company was always proud as the part of the growth of the mining sector in Indonesia.

Explosive maker and distribution firm PT Multi Nitrotama Kimia (MNK) continues to expand their business with amain target of becoming a leading company in Indonesia, which provides integrated services on explosives. Dharma Djojonegoro, the president director of PT Ancora

Indonesia Resources (AIR) which is MNK’s parent company, told Coal Asia recently that coal mining would continue

to grow and expand in Indonesia. Such growth would be followed by increasing demand on explosives, which offers

new opportunities for integrated explosive providers like MNK to keep expanding in business, also maintain its position as the market leader in Indonesia. MNK plans to become an integrated mining service provider in explosives, starting with the Ammonium Nitrate (AN) production, conducting emulsification and blasting processes, even making AN inventory. So far, MNK has worked on emulsification services in several mines. Dharma said that the company offers reliability and prime customer services to its clients. “There are no other Indonesian company like MNK that offers end-to-end services. We are an Indonesian company. We know how to do business here (in Indonesia). We have the logistics supply chain, production capacity, and certainty in getting the raw material to produce AN as the supplier is one of MNK shareholders, PT Pupuk Kujang,” Dharma said.

Ammonium Nitrate is the main material to make explosives and should be first mixed with fuel oil and processed into ANFO (Ammonium Nitrate Fuel Oil). It is planted underground and used with a fuse. This is what we call a detonator.

At present, the company is building a detonator assembly and a warehouse with 6,000-ton capacity in Pendingin area, Samarinda, East Kalimantan, worth around US$ 2 to 3 million in investment. The construction project is scheduled to be completed later this year. The company’s other warehouses include those in Cikampek (4,000-ton capacity), Marunda (6,000-ton capacity), Jakarta (accessories’ warehouse), and Banjarmasin in South Kalimantan (3,000-ton capacity). In the construction of the detonator assembly, the company has planned to establish a joint operation with some foreign companies which provide the technology. PT Multi Nitrotama Kimia, which was first established in 1987, has obtained the permit to produce and distribute explosives since 1991. The production of ammonium nitrate, which is the raw and main material to make explosives, has been started since 1990. MNK’s first plant, which has the capacity to produce 37,000  tons of AN chemicals a year, made the initial production.

Though the plant produces only 37,000 tons of ammonium nitrate per year, MNK has, however, managed to distribute up to 180,000 tons last year. The company imported the rest of the chemicals to be distributed locally, especially to the coal mining industry.

This year, MNK management is optimistic they would be able to produce an additional 90,000 tons of ammonium nitrate in their second plant, so the total production of both plants would reach 127,000 tons. The second ammonium nitrate plant started its construction since October 2009, and has been on commercial operation since January 2012, with approximately US$ 73 million worth ofinvestment. The fund for the construction project was obtained through shareholders’ deposit, bank loans, and the company’s internal funding, Dharma said.

In building the plant, PT Multi Nitrotama Kimia has appointed a consortium, PT Inti Kaya Persada Teknik, as the company in charge of the construction of the second MNK plant. A holding company in chemical and fertilizer industry has been appointed as the engineering consultant. For its total distribution, MNK has set a target to distribute around 235,000 tons of ammonium nitrate this year, a significant increase compared to last year’s distribution, which was 180,000 tons. “We are committed to providing reliable and timely supply to all our clients,” Dharma said.

MNK currently holds around 45 percent market share of the local explosive industry. There are at least, seven more similar companies competing in the same market in Indonesia, a market which is still wide open. Some of MNK’s major clients include PT Freeport Indonesia, PT Newmont Nusa Tenggara (NNT), PT Adaro Indonesia, PT Kideco Jaya Agung, and PT Asmin Koalindo Tuhup (AKT). “We won new multi-year contracts worth more than $ 100 million last year. Given that we now have a stable and reliable production base in the country,we will continue to sign up more customers to long term contracts.” Dharma said. Besides increasing production and improving services, Dharma said that MNK would continue to improve its human resources to meet the challenge and harsh competition of the global industry.

Business activities

Nitrate Acid Production

Nitrate Acid’s raw materials are Ammonia and air. Ammonia oxidation in the atmosphere is conducted in a reactor in gas phase. It continues the process passing through the platinum screener, using the technology designed by DM Weatherly (USA).

Ammonium Nitrate (AN) Production

AN’s raw materials are Ammonia and Nitric Acid ( HNO₃ ), which are reacted in a reactor pipe to form Ammonium Nitrate with around 85 percent concentration. This process uses the technology designed by Kaltenbach Thuring (France).

Assembly

MNK works with PT Dyno Nobel, Australia, a prominent company which is also one of the creators of explosives, specifically used in various mines throughout the world. A Non-Electric Detonator (Nonel) assembly plant, is being built in Muara Kembang, Muara Jawa, Handil, East Kalimantan. Nonels can be used either in open mining (Surface Mining), or in Underground Mining such as in gold, nickel, coal and other mineral mines. The Nonel assembly plant is scheduled  to work on its first production later this year. And during its initial operation, the plant will produce around  2.5 million pieces of Nonels, which will be increased later to up to six million pieces per year. Some types of Nonels in production are:

• EZTL Nonel is a low-power detonator for surface mining, which is usually used with MS Nonel to create flexible, easy-to-use initiation system to open mining and construction operation.

• MS (Millisecond) Series is a high-power delay detonator. The “28 Series” has the capability to perform with only around 25-1,000 millisecond delay.

• LP Nonel is a non-electric delay detonator in the form of long, yellow, shock tube with a high-power detonator attached on one hand, and a sealed cover on the other.

Emulsion

Emulsion is a type of explosives processed in liquid oxide phase. It is mixed with (diesel) oil in the oil phase, and added with emulsifier to maintain its emulsion phase. Microballon glass or gassing chemical agent is used as the magnifier to create a “hot-spot” phenomenon when it forms very small (down to 0,001 millimeter) oxidation granules/ particles.

At present, emulsion explosives are widely used in detonation process in various mineral mines. The explosives are produced in cartridge packages, and bulk, which could be unloaded into the blast holes using Mobile Mixer Unit (MMU) trucks. For its production, MNK has managed to develop its first “On-Site Plant” (OSP) for the commercial production of the emulsion explosives. The plant, located in Indomura (Central Kalimantan), has the capacity to produce up to 1,260 tons of emulsion explosives a year.

Quality Control

Regular laboratory checks are required to maintain the product quality. Meanwhile, to maintain maximum accuracy on the data, also have more control on the process, MNK uses a computerized control system called Distribution Control System (DCS). As a counter check on their products’ quality control, the company has worked with authorized institutions  including PPTM (Mineral Technology Development Centre) in Bandung, and State-Survey Company Sucofindo in Jakarta.

Services

PT Multi Nitrotama Kimia offers various services including providing supporting equipments and services for activities in the field, especially the detonation process in mining locations. The works are handled by skilled workers and professional experts.

Blasting/ Detonation Services

Total Loading and Blasting Services (TLBS) are integrated services in blasting process conducted in mining locations, which cover:

1. Manufacturing explosives (manually or in mobile setting).

2. Loading explosives

• Priming (Installing the detonator and dynamites)

• Loading bulk explosives

3. Filling up the holes with cover materials

4. Installing surface detonator

5. Shooting

Down the Hole (DTH)

Is part of the services provided in blasting activities conducted in mining locations. They cover:

1. Manufacturing the explosives (manually or in mobile setting).

2. Loading the explosives into the holes, which works include:

• Priming (installing the detonator+ dynamites)

• Loading bulk explosives

Blasting Technique Consultation (Technical Services)

Is making the estimation on the occurring tremors or effect of the detonation, including following up customers’ complaints against MNK services. They cover:

1. Measuring the tremors and noise as the result of the detonation process and measuring the impact on the surrounding areas local community

2. Detonation/ blasting activity

3. Consultation with clients on safe and optimal detonation process.

Mobile Mixing Unit (MMU)

To secure fast, efficient filling of the drilled hole, MNK provides MMU (Mobile Mixing Unit) which is a mobile setting unit to process bulk explosives at the mining pit. Here, it is mixed with other chemicals/ raw materials the MMU carries.

Trading Activity

To secure the supply, MNK is actively involved in trade activities for Ammonium Nitrate (AN) and other products including the accessories and other support equipments, related to the blasting services. The company also works with related, reliable suppliers in the field.

Ammonium Nitrate

Ammonium Nitrate Fuel Oil (ANFO) is the only one of many materials of explosives, which largest component is AN mixed with fuel oil. Based on research, mining experts tend to use ANFO due to its safe and economical characteristics.

Compared to other materials for explosives, ANFO is categorized as drybasis for either underground or open/ surface detonations with the hole’s diameter between one and 12 inches or larger.

Accessories

Types of accessories of explosives traded by MNK cover; Dynamite, is a type of explosives that can explode only by using a detonator. This type is used to detonate bulk explosives (ANFO, ANFO+ emulsion). Examples: Powergel Magnum  3151, Powergel Magnum 365, booster. Detonator is a bullet shell container with explosive fillers (PETN) which functions in the initial ignition process. Examples: electric detonator, nonelectric detonator, electromagnetic detonator (ICON).

Nitrate Acid

Nitrate Acid is the raw material for Ammonium Nitrate, also to be used as organic synthesis (dyes, nitrate cellulose, polyurethane, and metallurgy (steel etching and picking). Specification: Strength 60% minimum; Oxide 0.01 percent, maximum dissolved (as NO₂)

Emulsion

PT MNK continues to develop ammonium nitrate and its derivatives, including by starting to produce the type of emulsion that would become MNK’s high-quality products.

Bulk Explosive

Is a type of explosive which components are not classified as explosives. However, if these components are mixed in certain weight and compositions, they will become explosives.