Hyundai to build ships for Pertamina

Hyundai to build ships for Pertamina

JAKARTA: National oil and gas company Pertamina on Thursday signed a contract with South Korea's Hyundai Heavy Industries Co. for the construction of two very large crude carriers.

The tankers, which will have the capacity to carry two million barrels of crude oil, cost US$65.4 million each, said Pertamina's downstream director Muchsin Bahar.

Hyundai will deliver the first tanker in September 2004, and the second one three months later, Muchsin told reporters. The tankers will ship crude oil from the Middle East to Pertamina's refinery in Cilacap.

The contract is part of Pertamina's plan to buy 12 tankers this year. In addition to these 12, Muchsin said Pertamina plans to buy another 26 new tankers within the next five years. -- Dow Jones