Liquid carrier project

JAKARTA (JP): Salim Group, RGM International and Gearbulk Ltd will set up a joint venture company to operate carriers of liquid products like crude palm oil and refined palm oil.

Salim Group's chief executive officer, Anthony Salim, said yesterday that he, RGM's chief executive, Sukanto Tanoto, and Gearbulk's chief executive, Kurt Hjelset, signed a memorandum of understanding Monday.

He said Salim Group would own 40 percent of the joint venture, RGM International 40 percent and Gearbulk 20 percent.

He did not say how much the project would cost.

Salim said Gearbulk's subsidiary, Grace Shipping Ltd, was conducting a feasibility study.

Salim Group and RGM International have cooperated in developing palm oil plantations in North Sumatra, Jambi and Riau since 1983. (bnt)