MARKET DEVELOPMENT
Pelindo I Issues $24M Bond to Develop Kuala Tanjung Port
Pelindo I Issues $24M Bond to Develop Kuala Tanjung Port
29/01/2015 (IHS Maritime 360) - Indonesian state-owned port operator PT Pelabuhan Indonesia (Pelindo) I will issue bonds worth IDR300Bn ($24M) in 2H15 to develop Kuala Tanjung Port in North Sumatra.
The Kuala Tanjung Port development is predicted to cost around IDR17Trn until 2019. For the initial stage, Pelindo I will allocate IDR5Tn ($400M) to develop container and liquid bulk terminals to serve the shipping of plantation products like palm oil.
Indonesia is the world's biggest producer and exporter of palm oil.
For the second phase in 2016, Pelindo I will build a 10km² industrial area. Upgrading of stevedoring facilities will be conducted in the third phase of the development, while works to complete Kuala Tanjung as a city port will be conducted in the fourth phase of development.
"Kuala Tanjung development will be conducted within 16-18 months, including constructing berth with 400m length, utilities, instruments, and information-technology installation," said Pelindo I CEO Bambang Eka Cahyana.
Besides Kuala Tanjung Port, Pelindo I will also develop four other ports under its management, namely Malahayati Port in Aceh Besar Regency; Belawan Port in Medan, North Sumatera; Dumai Port in Riau Province; and Batam Port in Riau Islands Province.
The Kuala Tanjung Port development is predicted to cost around IDR17Trn until 2019. For the initial stage, Pelindo I will allocate IDR5Tn ($400M) to develop container and liquid bulk terminals to serve the shipping of plantation products like palm oil.
Indonesia is the world's biggest producer and exporter of palm oil.
For the second phase in 2016, Pelindo I will build a 10km² industrial area. Upgrading of stevedoring facilities will be conducted in the third phase of the development, while works to complete Kuala Tanjung as a city port will be conducted in the fourth phase of development.
"Kuala Tanjung development will be conducted within 16-18 months, including constructing berth with 400m length, utilities, instruments, and information-technology installation," said Pelindo I CEO Bambang Eka Cahyana.
Besides Kuala Tanjung Port, Pelindo I will also develop four other ports under its management, namely Malahayati Port in Aceh Besar Regency; Belawan Port in Medan, North Sumatera; Dumai Port in Riau Province; and Batam Port in Riau Islands Province.