Tue, 19 Sep 1995

Norway interested in Natuna

JAKARTA (JP): Norwegian Prime Minister Gro Harlem Brundtland told President Soeharto yesterday that her country is interested in taking part in the US$40 billion natural gas extraction project in the Natuna islands near Singapore.

Minister/State Secretary Moerdiono said that through its prime minister, Norway had expressed a desire to participate in the huge project.

"Both leaders agreed that further studies are needed to investigate the options for Norway's involvement in the project," Moerdiono said.

While President Soeharto and Prime Minister Brundtland were holding talks, Indonesian and Norwegian ministers and officials held a parallel meeting to exchange views and discuss ways of expanding bilateral economic ties.

"Indonesia and Norway are in agreement about the need to expand their economic and trade cooperation," Moerdiono said, adding that Norway could provide expertise and technology in the petroleum, electricity, ship-building and timber industries.

The Norwegian prime minister and her husband Arne Olav Brundtland, accompanied by several ministers and businessmen, arrived here on Sunday for a two-day official visit after spending the weekend in Yogyakarta.

Later yesterday, Brundtland told a luncheon with Indonesian businessmen that Norwegian businesses were increasing their presence here and in Asia as a whole and that "her government wholeheartedly supports and encourages this trend."

"The business sectors included in our Asia strategy are oil and gas, environmental technology, shipping, hydropower and information technology," she said.

She added that Norwegian companies, such as Kvaerner and Aker, could be valuable suppliers of platforms and other equipment for the Natuna gas project.

"Most of the world's biggest offshore platforms have been built by Norwegian companies," Brundtland added.

Indonesia's state-owned oil company Pertamina and Exxon Corp. of the United States signed an agreement last November to carry out the multi-billion dollar project in the Natuna gas fields.

Council

The business luncheon, hosted by the Indonesian Chamber of Commerce and Industry, also inaugurated the Norwegian-Indonesian Business Council, which will serve as a forum for further expanding business ties between the two countries.

"We hope to further promote strategic alliances between Indonesian and Norwegian businesses," said the chamber's Vice President Iman Taufik in welcoming the establishment of the business forum yesterday.

Brundtland's schedule yesterday included meetings with State Minister for Development Planning Ginandjar Kartasasmita and State Minister for Research and Technology B.J. Habibie, as well as a state banquet hosted in her honor by the President and Mrs. Tien Soeharto at the State Palace.

She witnessed the signing of a memorandum of understanding on energy cooperation by Norwegian Minister of Energy and Industry Jens Stoltenberg and Indonesian Acting Minister of Mines and Energy Moerdiono.

Brundtland was also present at the signing ceremony for a joint-venture agreement between Kvaerner Engineering of Norway and PT Bakrie & Brothers of Indonesia.

The joint-venture company, PT Bakrie Kvaerner Engineering, will operate in project management and engineering, notably in the oil and natural gas industry.

Today, the Norwegian prime minister is scheduled today to meet with State Minister for Environment Sarwono Kusumaatmadja, to attend a seminar on Norwegian environmental management and technology and to visit the Indonesia-in-Miniature park in East Jakarta.

Brundtland and her entourage will leave Indonesia tomorrow morning for Singapore.(vin)

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