McCarthy to open BHP plant
JAKARTA (JP): Australia's ambassador to Indonesia, John McCarthy, will open a new steel building products plant owned by PT BHP Indonesia, a subsidiary of Australia's widely diversified BHP business group, on Friday.
The Australian Embassy said in a statement yesterday that the opening of the production unit would be part of McCarthy's program during a three-day visit to Medan starting today.
The new steel building products plant will be a valuable contribution to increasing business activities in Sumatra, the Australian ambassador said.
McCarthy said that Australian business interests in North Sumatra were growing in response to the province's rapid development.
"The Australian government's commitment to helping Australian business capitalize on this growth lies behind the decision to establish in Medan a regional office of Austrade, the government's trade promotion body," the statement said.
The office is scheduled to open later this year.
Since 1994, the Australia Center has provided Australian education services in Medan. Staff help local students enter Australian universities, provide English training and promote Australian cultural exhibitions in the city.
"I am particularly pleased that we can celebrate this increased Australian commitment with a genuine step toward increased Australian business activity, namely the establishment of manufacturing operations in Medan by BHP through its joint venture firm, PT BHP Steel Building Products Indonesia," McCarthy said.
BHP has had a sales office in Medan for 17 years and has long- term ambitions to establish a manufacturing plant in the area. It intends to manufacture steel building products tailored specifically to the needs of the region.
"The new Medan factory is a broadening of our steel operations beyond Java and eastern Indonesia and an important extension of BHP's business commitments in this country," BHP Indonesia President Colin Smith said.
BHP's extensive operations in Indonesia cover steel manufacturing, mining and mineral exploration. It plans to enter the petroleum industry in the Timor Gap. (icn)