HPS Natural Resources Development Corp. is a company specializing in nickel mining development and operates mining activities throughout the Mindanao region of the Philippines.
Nickel Mining Operations Status
Mining Site
Philippine Mining Companies Expect Sharp Increase in Nickel Ore Exports to Indonesia
The Philippines’ nickel ore exports to Indonesia are expected to increase significantly this year, driven by Chinese-owned smelters seeking alternative raw material supplies after being impacted by Indonesia’s restrictions on domestic production.
Tulsi Das Reyes, head of the mining division at DMCI Holdings, a major Philippine conglomerate, stated that Philippine nickel ore exports to Indonesia, which stood at around 1 million tons at the end of 2023, are projected to surge to 5–10 million tons this year.
The Philippines produces more than 30 million tons of nickel ore annually, with the majority still shipped to China, its largest export market. However, as the Indonesian government has tightened mining development and export regulations to support price stability, exports of Philippine nickel ore to Indonesia have increased rapidly in recent years.
DMCI plans to export approximately 2 million tons of ore this year, with a portion destined for Indonesia. Nevertheless, Reyes noted that this trend is unlikely to be sustained over the long term. “Indonesia will prioritize the use of its own resources,” he said, adding that “Chinese smelters are also likely to increasingly prefer sourcing from their partner mines within Indonesia.”
Although the Philippines is the world’s second-largest nickel ore producer, it still lags behind Indonesia in the capital-intensive smelting and refining sector. Recently, the Philippine Congress repealed a proposed ban on raw ore exports, easing the burden on mining companies but slowing efforts to foster a domestic smelting industry.
Despite this, some mining companies have not abandoned plans to build smelters. DMCI, together with Nickel Asia Corp., the country’s largest nickel producer, is conducting a feasibility study for a USD 1.5 billion HPAL (High-Pressure Acid Leach) smelter and is in discussions with overseas companies to secure technology and investment partners.
Reyes emphasized that developing a smelter would require securing approximately 300 million tons of nickel ore of specific grades over a 30-year period, noting that the company currently operates two mines and is reviewing the development of additional deposits.
Nickel Processing and Equipment
AI-Driven Autonomous MHP Production System
This system is an AI-based autonomous operation platform designed to integrate and automate the entire nickel MHP process, enabling the stable production of high-grade MHP (Ni–Co Hydroxide).
A step-by-step overview is as follows:
Real-time data collected from each process stage—ore blending, leaching, neutralization/iron removal, precipitation, drying, and packaging—is continuously connected to the AI system.
Key parameters include:
Sulfuric acid concentration (SO₄²⁻)
Hydrogen ion concentration (pH)
Oxidation–reduction potential (ORP)
These critical variables are automatically measured by sensors and transmitted to a centralized control system powered by AGI-based algorithms.
The AGI-based AI learns from accumulated MHP production data, analyzing correlations among reaction rates, temperature, pH, and ORP across each process stage.
It autonomously adjusts optimal parameters such as sulfuric acid dosage, oxidant injection timing, agitation speed, and precipitation conditions.
Through this mechanism, unstable process variables—such as pH fluctuations or excessive iron precipitation—are automatically corrected, ensuring stable production of high-grade MHP.
Under AI-optimized conditions, nickel and cobalt recovery is maximized while impurities such as iron and manganese are minimized.
As a result, high-quality MHP with Ni 30–40%, Co 5–8%, and Fe < 1% is consistently produced.
The AI system continuously monitors the status of each reactor in real time, detects anomalies at an early stage, and responds immediately through automated control.
All operational data are stored on a cloud server, allowing process engineers to remotely monitor and manage the system.
In summary, the AI-driven autonomous MHP production system represents a next-generation smart smelting technology in which artificial intelligence independently interprets process data, optimizes operating conditions, and delivers stable, high-quality MHP production with minimal human intervention.
Nickel Ore Composition Analysis Table
Nickel Intermediate (MHP) Pilot Production Sample
Nickel Intermediate (MHP) Analysis Table
🌟 The Strategic Importance of an MHP Plant
✔ Electric Vehicles
✔ Batteries
✔ AI Semiconductors
✔ Data Centers
✔ Nuclear Power & Fuel Reprocessing
✔ Shipbuilding & LNG
✔ Defense & Aerospace
Nickel is the common metal underpinning all of these critical industries.
In other words, whoever secures nickel controls the foundation of 21st-century strategic industries.
At the center of this reality lies the MHP plant.
Hyundai Motor, Tesla, GM, Volkswagen, BYD, and all major global OEMs have adopted high-nickel NCM/NCA chemistries.
NCM 811 → 80% Ni
NCMA → 88–91% Ni
Next-generation ultra-high-nickel batteries → 90%+ Ni
Nickel content in batteries continues to increase.
👉 Only countries that secure nickel can manufacture batteries.
👉 Nickel supply is the core battleground of the automotive and battery industries.
Our MHP plant is a strategic resource directly linked to Korea’s battery industry.
Today’s AI industry infrastructure—data centers, GPU manufacturing, cooling systems, and power infrastructure—is fundamentally dependent on nickel-based metals and alloys.
Semiconductor equipment → nickel alloys
GPU manufacturing processes → nickel-based chambers
Data center cooling systems → nickel-alloy piping
ESS backup batteries → high-nickel NCM batteries
In short:
AI growth = explosive growth in nickel demand.
If nickel supply is constrained, the AI industry itself will stall.
👉 MHP supply is essential infrastructure for the AI era.
The United States, Korea, Japan, and the EU have officially declared a “nuclear renaissance.”
SMRs (Small Modular Reactors)
High-temperature gas reactors
Nuclear fuel reprocessing
Radioactive waste solidification
Nuclear fusion reactors
None of these systems can be built without nickel-based super corrosion-resistant alloys.
In other words:
Nuclear expansion = surge in high-nickel alloy demand.
👉 A plant capable of supplying stable MHP is also critical to the nuclear and fuel-reprocessing industries.
Currently, over 70% of global MHP production is concentrated in Indonesia.
However, Indonesia faces significant risks:
Frequent project delays
Environmental concerns
Tailings management issues
Potential export restrictions
From the perspective of Korea, Japan, and the United States, this represents a high-risk supply source.
Therefore, the emergence of a new, stable MHP plant in the Philippines is exactly what Korean companies are seeking.
👉 Our MHP plant is a new supply base sought by Korea, Japan, and Europe.
We are actively researching Electric Oxidation (EO)–based MHP processes combined with advanced precipitation and refining technologies.
Key advantages include:
Reduced sulfuric acid consumption
Lower iron and manganese contamination
Reduced wastewater and sludge generation
Lower capital expenditure
Simplified process flows
Minimized tailings risk
The global market is demanding environmentally friendly MHP processes.
👉 Our technology can be evaluated as a next-generation MHP process.
POSCO, EcoPro, LG, SK, Korea Zinc, and LS MnM are all actively seeking to reduce long-term dependence on Indonesia due to:
IRA compliance risks (U.S. export barriers)
Indonesian policy uncertainty
Price volatility
Quality inconsistency
Logistics challenges
What Korean companies want most is MHP that is:
✔ Close to Korea (Philippines)
✔ Stable and contract-secured
✔ High-grade (Ni 30–40%)
✔ IRA-friendly and exportable to the U.S.
👉 Our plant can become a core partner of Korea’s battery industry.
According to IEA, Bloomberg, and Rystad, global nickel demand is projected to:
Double by 2030
Increase 3–5 times by 2040
High-nickel batteries, in particular, show an almost exponential growth curve.
👉 Nickel intermediates (MHP) will be among the most in-demand metals globally for the next 20–30 years.
✔ EVs, AI, semiconductors, nuclear power, shipbuilding, and defense all depend on nickel
✔ The time has come to move away from Indonesia-centric supply chains
✔ The Philippines is Korea’s most preferred alternative supply base
✔ Our process represents a more advanced, environmentally friendly MHP technology
✔ 2024–2030 is the era of explosive global nickel demand growth
Companies that build MHP plants during this period will secure the market for the next 20 years.
In short, building our MHP plant today is a decision where timing and strategic industry alignment perfectly converge.
What we are building is not merely a chemical plant—
it is core infrastructure that connects the future industries of Korea, the Philippines, and the global economy.
HPS Natural Resources Development Corp. plans to establish a Nickel Intermediate (MHP, Mixed Hydroxide Precipitate) production plant within the Polloc Freeport, located in Parang, Maguindanao Province, on the island of Mindanao.
Polloc Freeport is geographically situated along the southern coast of Illana Bay, providing natural protection from earthquakes, tidal waves, and tsunamis. The nearest city is Parang, approximately 4 km away, while Cotabato City is about 27 km from the site.
Polloc Freeport serves as a major gateway to the Bangsamoro Autonomous Region in Muslim Mindanao (BARMM) and is a key port in Central Mindanao. It was constructed in 1977 with funding support from the Asian Development Bank (ADB) and began operations in March 1980. At one time, it was considered one of the largest and most modern national ports outside Metro Manila. The freeport is currently managed by the BARMM Regional Economic Zone Authority.
A total area of 119 hectares has been designated for freeport facilities and business activities. The port is capable of handling standard container cargo as well as bulk and break-bulk cargo such as grain, cement, steel products, oversized cargo, and heavy equipment. With a water depth of 10.5 meters, Polloc Freeport is the only deep-water port in the BARMM region.
Tax and Customs Incentives: Duty-free importation within the freeport; exemption from local and national taxes
Investment Freedom: Up to 100% foreign ownership permitted (except for restricted sectors)
Foreign Exchange Freedom: No foreign exchange controls; full repatriation of profits allowed
Regional Economic Activation: Easy access to bulk cargo from Central Mindanao—particularly Maguindanao, North Cotabato, Sultan Kudarat, and coastal municipalities of Lanao del Sur—significantly reducing transportation costs
International Trade Connectivity: Direct import and export routes
Halal Industry Hub: Designated as the first Halal Economic Zone in the Philippines
Job Creation: Employment generation through port operations and industrial zone development
Industrial Park Development: Planned growth into a self-sustaining industrial complex with captive power generation
Polloc Freeport stands as a strategic hub driving the future economic growth of the Bangsamoro Autonomous Region and Mindanao, positioning itself as a central pillar of regional and national development.
Sludge generated during the MHP smelting process can, after undergoing a simple roasting procedure, significantly contribute to the revitalization of the construction aggregate market.
Under Korea’s “Act on the Promotion of Recycling of Construction Waste,” national and local governments as well as public institutions are required to use recycled aggregates for at least 40% of total aggregate demand in construction projects above a certain scale.
Currently, the supply situation for lightweight aggregates in Korea shows heavy reliance on imports. Materials such as expanded clay, expanded slate, perlite, and slag-based artificial aggregates are imported from countries including Thailand, the United States, China, and Norway, and are traded at prices ranging from approximately KRW 90,000 to KRW 200,000 per ton.