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McCarthy to open BHP plant

| Source: JP

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)

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