Saudi, U.S. firms to invest $15b in RI

Saudi, U.S. firms to invest $15b in RI

JAKARTA (JP): Ameen Al-Hindi Est. of Saudi Arabia and Link
International Inc. of the United States have committed themselves
to investing up to US$15 billion in 13 projects in Indonesia, in
cooperation with local business group Tatanusa.

Executives of the three businesses signed investment contracts
for the 13 foreign-investment projects here yesterday.

Alie Ermas of PT Tatanusa Mineral said after the signing
ceremony that the committed projects include a $620-million
cement plant in East Kalimantan and a $365 million cement plant
in Madura, East Java.

He explained that the planned Madura plant will have an annual
production capacity of 2.3 million tons, while the one in East
Kalimantan will have an annual capacity of three million tons.

"When these two cement plants start production, it is expected
that Indonesia will no longer have to import cement." Alie was
quoted by Antara as saying. "Instead, Indonesia will be able to
export cement to earn foreign exchange."

However, he did not elaborate on the timetable of the
projects.

Although Indonesia is one of the world's largest cement
producers, with an output of some 25 million tons per annum, it
still imports the commodity to meet the increasing domestic
demand from the booming construction industry.

In addition to the two cement plants, the investors are
committed to investing $2 billion in a phosphate mining project,
$1.5 billion in a gas project and $1.5 billion in an oil
refinery.

They also plan to set up a steel project with a planned
investment of $100 million, a tile-making project worth $18
million and a number of property projects in Bali and Manado,
North Sulawesi. (rid)