Halla, Kayulapis tie up

Halla, Kayulapis tie up

SEOUL (AFP): South Korea's Halla Group has teamed up with the Kayulapis Group of Indonesia to build a US$400-million cement joint venture on the Indonesian island of Java, a Korean group spokesman said yesterday.

Halla Group chairman, Chun In-Yung, signed the agreement on the project with Agus Sutanto, chairman of the Indonesian group, best known for its timber business, over the weekend, the spokesman said.

The agreement calls for Halla to build the plant on a turn-key basis, while Kayulapis would be responsible for cement sales and liaison with the Indonesian government, he said.

The two companies will have a 50 percent stake respectively in the joint venture, which will have an capacity of 3.5 million metric tons a year.