Halla plans cement plant

Halla plans cement plant

SEOUL (Reuter): South Korea's Halla Engineering and Heavy Industries Ltd said yesterday the company and Indonesia's Byna Group agreed in principle to build a US$400 million joint venture cement plant in Indonesia.

A Halla spokesman said Byna Group chairman Muchtar Byna and Chung In-yung, chairman of the Halla Group, Halla Engineering's owner, had signed a letter of intent.

Halla will have a 65 percent stake and Byna 35 percent in the plant, which will have a capacity of two million tonnes a year.

Halla is due to build the plant on a turnkey basis, the statement said.

"The plant is expected to relieve Indonesia's severe shortage of cement supply," it said.