JakartaA Japanese company has been chosen to build and operate all three terminals at Kalibaru Port in North Jakarta, Indonesia, with the first one  expected to begin operations by the middle of next year.

Government-run port operator PT Pelabuhan Indonesia II (Pelindo II) made the partnership with Mitsui Co. Ltd. official with the signing of a formal agreement recently.

The two companies will establish a joint venture to operate the Kalibaru terminal. The port is being built to expand the capacity of Tanjung Priok Port.

The partnership will see Pelindo II with a 51 percent stake in the JV and Mitsui the rest.

Pelindo II president director Richard Joost Lino said he expects Mitsui to build and develop port facilities that will make Tanjung Priok Port, the country’s busiest, “equal to other ports in developed countries,” reports The Jakarta Post.

The first container terminal at Kalibaru will be 400 meters long when completed by the end of this year. It will then be expanded to double its length, the new undertaking scheduled to be completed in May next year.

The first terminal will have a capacity of 1.5 million 20-foot-equivalent units (TEUs) and cost about US$393 million, the investment to come wholly from Mitsui.

The two other terminals will also be constructed by the Japanese conglomerate and are expected to be completed in 2018, bringing an additional capacity of 4.5 million TEUs to Kalibaru.

Photo: Joel Wiramu Pauling

You May Also Like

IRR of PH strategic goods law requires registration of LSPs

The Philippine government has finally released the implementing rules and regulations (IRR) of the Strategic Trade Management Act (STMA), which requires among others the…

Enhanced Goods Declaration Verification System effective Aug 2

The Bureau of Customs (BOC) will roll out on Aug 2 the Enhanced Goods Declaration Verification System (eGDVS) also known as “1-Assessment” initially at…

Subic airport ready for commercial operations possibly by mid-2020—SBMA

Subic Bay International Airport (SBIA) is expected to have new navigation equipment by year-end and to subsequently open for commercial operations by mid-2020, according…

PPA turns the corner, posts 264% jump in 2009 income

THE Philippine Ports Authority (PPA) reported a 264.17% jump in net income for 2009 to P1.788 billion from a net loss of P1.089 billion…