RI-Malaysian palmoil plant

RI-Malaysian palmoil plant

JAKARTA (JP): A Malaysian firm will establish a US$750 million
palm oil plant in West Kalimantan in cooperation with Indonesian
businessman Indra Rukmana, a son-in-law of President Soeharto.

An official of the Investment Coordinating Board (BKPM) said
that the parties signed an agreement in Kuala Lumpur in April to
set up the plant on a 200,000-hectare palmoil farm.

BKPM has approved the project, which is 60 percent owned by
Kretam Holdings Bhd. of Malaysia and 40 percent by Indra Rukmana.

Kretam's chief executive officer, Ahmad Zahid Hamidi, was
quoted by Bisnis Indonesia daily yesterday as saying that the
project is expected to start operating later this year. (icn)