Citra Aromatic approaches German bank: Shareholder<\/p>\n
JAKARTA (JP): PT Citra Aromatic Indonesia is negotiating with
\na German bank for finance to develop its aromatic plant in
\nSerang, West Java, says the chairman of one of the project's
\nshareholders.<\/p>\n
The Medco Group's chairman, Arifin Panigoro, said Tuesday: "We
\nare negotiating with a German bank for a US$102 million loan".<\/p>\n
Earlier, Peter F. Gontha, vice president of PT Chandra Asri
\nPetrochemical Center, another of the project's shareholders, said
\nthe company had asked Germany's Industrial KreditBank for an $85
\nmillion loan to finance the project.<\/p>\n
The project is 21 percent owned by Medco, 20 percent by PT
\nChandra Asri, 20 percent by Japan's Marubeni, 5 percent by
\nGermany's Krupp Uhde and 34 percent by local companies.<\/p>\n
Arifin said the project would be 75 percent loan financed and
\n25 percent financed with the company's own equity.<\/p>\n
"Construction is due to start later this year," Arifin was
\nquoted by Bisnis Indonesia as saying after Medco Energy's annual
\nshareholders' meeting.<\/p>\n
He said the Investment Coordinating Board had approved the
\nproject.<\/p>\n
It will be built on four hectares next to PT Chandra Asri's
\nolefin facilities in Cilegon, West Java. It is due to start
\ncommercial production in mid 1999.<\/p>\n
The plant will be able to make 125,000 tons of benzene, 72,000
\ntons of toluene and 29,000 tons of mixed xylene a year.<\/p>\n
PT Chandra Asri will supply the raw material, pyrolysis
\ngasoline. Chandra Asri produces and exports 240,000 tons of
\npyrolysis gasoline a year.<\/p>\n
Arifin said Citra Aromatic would export between 70 percent and
\n80 percent of its products.<\/p>\n
Medco Energy's director of exploration and production, John. S
\nKaramoy, said Medco's subsidiaries PT Expan Sumatra and PT Expan
\nKalimantan had discovered three oil and gas wells in South
\nSumatra early this year.<\/p>\n
Medco Energy and state-owned fertilizer maker PT Pusri have
\nagreed to develop fertilizers with the gas.<\/p>\n
Medco Energy increased its net profit to Rp 40.2 billion in
\n1996, from Rp 30 billion last year. The company expects to
\nincrease its net profit to Rp 70 billion this year. (jsk)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/citra-aromatic-approaches-german-bank-shareholder-1447893297",
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"sponsor_url": "https:\/\/okusiassociates.com"
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