The Indonesian government has invited investors, including those from China, to develop industrial estates in North Kalimantan, a province with great energy potential.
Industry Ministry Airlangga Hartarto said, “Some of the prospective investors are from China. Today, we have a trade deficit mounting to US$15 billion; it is possible that the figure will be compensated through investments in the province.”
Airlangga said North Kalimantan was located at a strategic position as nearly 61 percent of Indonesia’s trade was done with fellow Asian countries, including China, that were located closer to the northern side of the archipelago. “So we can prepare export-based industries in North Kalimantan with targeted markets, such as China, Japan, Taiwan and Hong Kong,” Airlangga said.
At present, the North Kalimantan administration claims there are several investors that have committed to develop hydro power plants in the province, including PT Hannergi Power Indonesia and PT Kalimantan Electric City at Mentarang River with a capacity of 500 MW and 7,600 MW, respectively, and PT Kayan Hidro Energi at Kayan River with a capacity of 9,000 MW. (bbn)
With an abundant supply of natural resources, particularly energy, Indonesia’s youngest province North Kalimantan is set to become the new industrial star in the near future. The province is home to at least nine oil and gas fields, including the Ambalat Block that holds 764 million barrels of oil reserves and 1.4 trillion cubic feet of gas reserves and hydroelectricity potential estimated at 33,000 megawatts (MW).
Source: Jakarta Post