MOU on Ancol Baru project signing

MOU on Ancol Baru project signing

JAKARTA (JP): The city administration signed yesterday a
memorandum of understanding with PT Manggala Krida Yudha for the
early construction of the Ancol Baru project.

Manggala -- a private firm owned by President Soeharto's
youngest daughter Siti Hutami Endang Adiningsih -- has been
allowed to reclaim 500 hectares of the 2,700-hectare plot
designated for the reclamation project in Jakarta Bay.

The Ancol Baru project will be developed in cooperation with
the state-owned port management company, PT Pelindo II, and
become a business, commercial and residential area.

Last May, Manggala awarded the Hyundai Engineering company a
US$110 million contract to complete the reclamation project.

Among the contractors licensed for the bay project are PT
Mandira Permai, PT ISMAC, PT Jaladri Karyika Eka Paksi and PT
Kapuk Naga Indah.

The Pantai Indah Kapuk waterfront project, being developed by
Mandira Permai, is expected to be completed in 2002.

Another project held by PT Kapuk Naga Indah, a subsidiary of
the Salim business group, is restoring 674 hectares in the west
part of Jakarta Bay.

Deputy Governor TB.M. Rais said yesterday that he hoped the
reclamation project in Jakarta Bay will, in return, provide a
better quality environment for Jakarta.

"The city will maintain its control over the project with BP
Pantura (Jakarta Bay Supervision Bureau) ensuring two important
goals are achieved," he said.

"First, to have good quality reclamation, which means that we
can reduce its environmental impact, and second, to make the
reclamation project and the city's development an integral plan."
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