Joint venture gas plant to be built in Surabaya in 1995
Joint venture gas plant to be built in Surabaya in 1995
JAKARTA (JP): Three companies signed a joint venture agreement
here yesterday to establish an industrial gas plant in Surabaya,
East Java, early next year with a total investment of Rp 29
billion (US$13.4 million).
The agreement was signed by Soemantojo of the state-owned PT
Aneka Gas Industri, K. Saitoh of the Japanese Iwatani
International Corporation and Rudi G. Endres of the Airgas
Incorporated of the United States.
Director General of Chemical Industries Sujata, who witnessed
the signing, noted that the agreement shows that Indonesia still
offers a conducive foreign investment environment.
"It's in line with the government's effort to attract foreign
investment with a series of deregulatory measures to create a
more conducive investment climate here," Sujata said.
The plant, to be operated by PT Aneka Iwatani Industrial
Gases, is expected to commence commercial operation in 1997, with
initial annual production capacity of 24 million cubic meters of
liquid oxygen, four million cubic meters of liquid nitrogen, 40
million cubic meters of nitrogen gas and 960,000 cubic meters of
liquid argon.
All the products are projected to meet the increasing domestic
demand for highly purified industrial gases. Currently the annual
capacity of all industrial gas plants in the country is 296.3
million cubic meters.
According to Soemantojo, 64 percent of the total cost of the
project will be financed by loans, and the remainder with equity,
for which Iwatani will provide 55 percent, Aneka Gas 45 percent
and Airgas 10 percent.
Soemantojo noted that although his company is not the majority
shareholder, it is entrusted to handle the operation of the plant
and the marketing of the products, which are to meet domestic
needs. (rid)
JAKARTA (JP): Three companies signed a joint venture agreement
here yesterday to establish an industrial gas plant in Surabaya,
East Java, early next year with a total investment of Rp 29
billion (US$13.4 million).
The agreement was signed by Soemantojo of the state-owned PT
Aneka Gas Industri, K. Saitoh of the Japanese Iwatani
International Corporation and Rudi G. Endres of the Airgas
Incorporated of the United States.
Director General of Chemical Industries Sujata, who witnessed
the signing, noted that the agreement shows that Indonesia still
offers a conducive foreign investment environment.
"It's in line with the government's effort to attract foreign
investment with a series of deregulatory measures to create a
more conducive investment climate here," Sujata said.
The plant, to be operated by PT Aneka Iwatani Industrial
Gases, is expected to commence commercial operation in 1997, with
initial annual production capacity of 24 million cubic meters of
liquid oxygen, four million cubic meters of liquid nitrogen, 40
million cubic meters of nitrogen gas and 960,000 cubic meters of
liquid argon.
All the products are projected to meet the increasing domestic
demand for highly purified industrial gases. Currently the annual
capacity of all industrial gas plants in the country is 296.3
million cubic meters.
According to Soemantojo, 64 percent of the total cost of the
project will be financed by loans, and the remainder with equity,
for which Iwatani will provide 55 percent, Aneka Gas 45 percent
and Airgas 10 percent.
Soemantojo noted that although his company is not the majority
shareholder, it is entrusted to handle the operation of the plant
and the marketing of the products, which are to meet domestic
needs. (rid)