Fluor Daniel to establish firm here

JAKARTA (JP): The Investment Coordinating Board has approved an application by Fluor Daniel of the United States to establish a wholly-owned subsidiary in Indonesia.

The new company, called PT Fluor Daniel Indonesia, will start operating as soon as it has received approval from the justice ministry.

"We expect that the approval from the ministry of justice will be obtained next month," company president Charles Sands told The Jakarta Post yesterday.

He said the board's approval had been received on Sept. 5.

Vice president of Fluor Daniel Indonesia, Rod Ragan, said that the establishment of the subsidiary will help Flour Daniel maximize the domestic content of its products by using Indonesian-operated engineering companies, suppliers, contractors and vendors.

"As a fully incorporated company, our operations will run smoother, but the basic business philosophy of Fluor Daniel will not change," Ragan said.

Fluor Daniel has been present in Indonesia since 1970, through the branch office of Fluor Daniel Eastern, Inc.

Ragan said Fluor Daniel Indonesia will be involved in diverse sectors, including petroleum, petrochemicals, mining, infrastructure, manufacturing, power, pulp and paper.

Fluor Daniel, through its partnership with Duke Power, has joined with PT Catur Yasa in the establishment of PT Nusantara Power Services for Operation, Management and Maintenance.

Ragan said that Fluor Daniel currently handles 12 projects in Indonesia, including the construction of a power plant in Paiton, East Java, the renovation of Hotel Borobudur Inter-Continental in Jakarta, the expansion of PT Freeport's copper mine in Irian Jaya, the construction of a copper smelting plant in Gresik, East Java, and the construction of a geothermal power plant in West Java.(31)