AirAsia to Move Base to Jakarta

Jakarta Globe, A. Lin Neumann | July 22, 2011

Tony Fernandes, Group CEO of AirAsia speaks during a joint company
 press conference with AirAsia in Tokyo, Japan, on Thursday. AirAsia has
 chosen Jakarta to be its regional headquarters in an effort to be seen as a
Southeast Asian airline rather than just a Malaysian one.
(EPA Photo/Everett Kennedy Brown)   

       

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Tokyo. AirAsia has chosen Jakarta to be its regional headquarters in an effort to be seen as a Southeast Asian airline rather than just a Malaysian one.

The region’s largest low-cost airline plans to open its base in the capital at South Jakarta’s Equity Building in October, group chief executive Tony Fernandes told the Jakarta Globe on Thursday. 

It plans to take advantage of easy access to the Asean secretariat in advance of the “open skies” agreement that will go into effect in 2015.

That agreement will lower barriers for air travel between the region’s capitals.

Asked why he chose to move the fast-growing airline’s principal corporate base to Jakarta from Kuala Lumpur, Fernandes said: “Asean is based in Jakarta, and Indonesia will be the largest economy in Asean in times to come … And I like it there.”

Fernandes, who is Malaysian, said he had already bought a home in Jakarta within walking distance of the new office. “I don’t like the Jakarta traffic,” he said.

The Equity Building is in the Sudirman Central Business District, near the Indonesia Stock Exchange (IDX). According to aviation experts, AirAsia’s relocation to Jakarta highlights the country’s growing importance in the region’s aviation sector.

“This will be great for our aviation industry,” said Dudi Sudibyo, an aviation industry analyst in Jakarta. “This will push us to be better.”

To match AirAsia’s ambitious strategy, the Indonesian government will have to continue to improve infrastructure to accommodate more passengers flying into and around the country, said Bambang Ervan, a Transportation Ministry spokesman.

“This is very positive, we welcome AirAsia’s plan,” he said. “It shows that AirAsia, one of the world leaders in the aviation industry, has confidence in Indonesia’s strong growth.”

The Indonesia National Air Carriers Association (Inaca) forecasts passenger growth at 10 percent to 15 percent this year.

Central Statistics Agency (BPS) data showed that air traffic in Indonesia grew 22 percent to 53.4 million passengers in 2010 on the back of demand from the middle class for domestic flights. 

That is higher than the 9 percent average increase recorded by Asia-Pacific carriers, according to data from the International Air Transport Association.

“Indonesia is among very few countries that managed to record strong growth in air traffic last year,” Bambang said. “The lack of available airlines compared to population and geographic conditions is only a sign that there’s a lot of opportunity here.”

Fernandes was in Tokyo for the announcement of AirAsia Japan, a new joint venture with Japan’s largest carrier, the ANA Group, to launch Japan’s second budget airline next year.

He confirmed his airline’s recent order for 300 Airbus A320neos. The deal, originally for 200 planes, was increased with an option for 100 more. It was the largest single aircraft order until Wednesday, when American Airlines ordered 460 Airbus and Boeing aircraft in a $38 billion deal.

Fernandes played down concerns raised by some analysts about the possible debt implications of such a deal, saying the company was cash rich, with a turnover of more than $4 billion last year, and operated as a group with a profit margin of about 20 percent.

Malaysian investors to develop Pulau Bawah as tourist resort

Antara News, Thu, June 9 2011 

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Tanjungpinang, Riau Islands (ANTARA News) - Malaysian investors are ready to develop Pulau (island) Bawah in the district of Anamabas, Riau Islands province. into a marine tourist resort, the province`s governor, HM Sani, said.

"I have discussed it with the investors. They plan to invest Rp1.5 trillion to develop a tourist object in Pulau Bawah," he said here on Thursday.

He said Pulau Bawah has an undersea natural beauty which is good for being developed into a snorkeling and diving area.

"The development of Pulau Bawah is also aimed at developing a prime economic driver in the tourism sector," he said.

Sani said negotiations were still going on such as with the district administration of Anambar, the customs service and other offices concerned which are expected to conclude in September 2011.

"The development is expected to take 1.5 years to complete while the operation is expected to start in 2013," he said.

Sani said the marine tourist object is expected to be able to attract 5,000 foreign tourists at the initial stage and create jobs for the local population.

The governor said the province needs around Rp12 trillion to increase economic growth over the next five years.

The province`s economic growth at present was recorded at 7.2 percent. President Susilo Bambang Yudhoyono meanwhile has asked for the growth to reach 10 percent.

Sani said investors were also interested in developing tourist objects in Pulau Kepala Jeri and Pulau Janda Berhias in Batam with an investment of Rp2 trillion.

Riau Islands borders Vietnam and Cambodia in the north, Malaysia and West Kalimantan province in the east, Bangka Belitung islands and Jambi provinces in the south and Singapore, Malaysia and Riau province in the west.

The Sumatran province with a population of more than 1.6 millions consists of more than 2,000 big and small islets and some of them are not populated yet.

Editor: Jafar M Sidik

Huawei gets Indonesia submarine deal

Global Telecoms Business, 07 March 2011

Huawei is to build a submarine cable across the Straits of Malacca between Malaysia and Indonesia

Huawei Marine Networks has been awarded a contract for the Batam-Dumai-Melaka submarine cable project linking Malaysia and Indonesia. Huawei will offer end-to-end turnkey submarine system solutions for the project.

The BDM project will consist of a cable system across the Straits of Malacca between Melaka, Malaysia and Dumai and Batam, Indonesia. The cable route will have eight pipeline and sea-cable crossings. The new system will provide bandwidth improvement for Malaysia and Indonesia.

The 300 kilometre cable will have a capacity of 80 gigabits a second. The project is expected to be completed by the fourth quarter of 2011.

Telekom Malaysia, Indonesia’s XL Axiata and infrastructure provider Moratel will build the system.

The advanced transmission technology and the support from Huawei’s parent, Global Marine Systems, will allow the system to bring high-capacity data communications to Malaysia and Indonesia in 2011, said Huawei Marine CFO, Zhou Jin. GTB

Two RI vehicles to participate in Shell Eco Marathon 2011

Antara News, Thu, March 3 2011

Yogyakarta (ANTARA News) - Gadjah Mada University (UGM)`s Semar Team is to enter two energy-efficient vehicles in the Shell Eco Marathon 2011 to be held at Malaysia`s Sepang Circuit on July 6-9 2011.

"The two energy efficient vehicles are the Semar Prototype and the Semar Urban," said Jayan Sentanuhady, adviser of Gadjah Mada University`s Semar Team, here Thursday.

The Semar Team was aiming to achieve maximum fuel efficiency and riding distance, Jayan said.

The engines of the energy efficient vehicles were designed for heat efficiency and maximal volume under certain balanced conditions, Jayan said.

"They are long stroke engines with high torque characteristics on the low rev to lower fuel consumption," Jayan, who is also a lecturer of Machine and Industry Engineering of Engineering Faculty of UGM, said.

According to Jayan, the Semar Prototype could cover 280 kilometers on one liter of gasoline.

The Semar Prototype was 2.8 meters long, 0.65 meters high, one meter wide and had a 1.6-meter long wheel base.

The chassis wa made of fiberglass with 2 millimeter thickness, while the engine was a 25 cc four-stroke single cylinder able to take the vehicle to its maximum velocity of 45 km per hour.

Meanwhile, the Semar Urban, which was designed as an energy efficient city car , was now still in a finishing process.

The Semar Urban used a 125 cc four-stroke engine, had double spark plugs which were ignited sequentially using an Electronic Control Unit, and consumed number 95 octane gasoline, Jayan said.

The Semar Urban`s dimensions were 2.3 meter long, 1.3 meter high, and 1.3 meter wide.

To compete in the upcoming competition, the Semar Prototype`s engine, which was 25 cc, would be replaced with a 115 cc engine to gain more power on an uphill road, Jayan said.

The rear swing arm, rear seats and steering paddock would be made separately, Jayan said, adding that the wheel house would be made outside the chassis to maximize its steering wheel turning angle until 45 degree.

With such transformation, Jayan hoped Semar Team could compete and perform well and win the competition.

Editor: Priyambodo RH

Genting Unit Discovers Gas in Indonesia

Jakarta Globe, Bambang Djanuarto | February 18, 2011

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Genting Bhd.’s exploration unit discovered natural gas in the Kasuri block in the Indonesian province of West Papua, said Elan Biantoro, a spokesman at Indonesia’s oil and gas regulator BPMigas.

Genting Oil and Gas Ltd. found the gas at the Asap-1X exploration well with a potential flow rate of 100 million cubic feet a day, Biantoro said by phone from Jakarta today. The discovery was earlier reported by Upstream publication.

“We hope the discovery will help us increase gas production to meet increasing domestic demand,” Biantoro said. The Kuala Lumpur-based company completed the drilling test at three layers of the block on Jan. 28, he said.

Genting Oil, which has four oil and gas projects in Indonesia, won rights from the Indonesian government to explore the Kasuri block in May 2008. It also operates in China and Morocco, according to information on the parent’s Web site.

Bloomberg

Wilmar Int’l set to relocate factories to RI: Govt

The Jakarta Post, Jakarta | Tue, 02/08/2011

The world’s largest palm oil producer, Wilmar International, has proposed to relocate its factories from Malaysia and China to Indonesia this year, a minister says.

“The relocation will begin this year,” Industry Minister MS Hidayat said on Monday as quoted by kompas.com.

Hidayat said Wilmar had planned to relocate its factories to Gresik, East Java, due to the existing infrastructure in the city, but the government had asked the firm to also set up factories in Riau, Indonesia’s main palm oil province.

He added that Wilmar had agreed to do so on the condition that the government could develop infrastructure such as roads to the seaport in Riau.

M`sian bizman to build 300 condos in Maluku

Antara News, Sat, February 05 2011

Ambon, Maluku (ANTARA News) - Malaysian businessman Datuk Wong Hee Toh is to build 300 condominiums in the Kudamati area for foreigners who want to do business in Ambon.

"What has prompted the Malaysian businessman is Maluku`s tourism potential. Tourism is a self-reliant people`s economic source," he said.

Khadijah Iskandar, director of Damuli Sarana Sdn. Bhd. of Malaysia said Wong Hee Teh had visited Ambon in early January and surveyed the area to be developed as a "business center".

He said 300 condominiums to be built on lands owned by individuals would be put on sale at the price of Rp300 million - Rp one billion per unit.

The sceneries of Ambon Bay and Ambon`s city center that can be enjoyed were an added value of the project.

Editor: Bambang

RI, Malaysia launch joint CPO campaign in EU

Antara News, Friday, December 17, 2010

Brussels (ANTARA News) - Indonesia and Malaysia reached agreement to cooperate in the development of oil palm as a renewable source of energy.

The agreement was disclosed by Malaysian Plantation and Commodity Industries Tan Sri Bernard Dompok and Indonesian Deputy Agricultural Minister DR Bayu Krisnamurthi after a meeting with the European Commission in Brussels Tuesday afternoon.

The Joint Statement of the two countries of the same racial stock was made following discussions with Jane Potocnik of the European Union`s environmental commission, Connie Hedegaar of the Climate Action Commission, Guntter Oettinger of the Energy Commission and Development Committee Nirj Deva and chairman the Paolo de Castro plant development committee.

After holding the meetings, the two ministers held a dinner with members of the European Parliament and the host Martin Callanan also attended by Indonesian ambassador to Belgium, Lusemburg and the European Union Arif Havas Oegroseno.

DR Bayu Krisnamurthi said that the issues during the discussions included the directive decision of 2009/28/EC on the promotion of the use of renewable energy sources, and sustainable palm oil production.

In addition, the problem of indirect land use change (ILUC), biofuel certification, revision of renewable energy, and High Biodiversity Grassland.

For Indonesia and Malaysia the palm oil industry is very important in economic development absorbing more than eight million workers in the two countries.

Unfortunately, the palm oil industry is opposed by various public organizations engaged in the sector of environment, and many of them had no proper understanding on the benefits of oil palm for the people.

DR Bayu Krisnamurthi said the benefits of palm oil is ten times as big as the oil produced by other legumes.

The two countries agreed to develop renewable energy from palm oil with its many benefits, both for Indonesia and Malaysia, oil palm is a very important commodity.

Indonesia and Malaysia are the world`s biggest oil palm suppliers including for Europe reaching 90 pct. While 42 pct of the production in Indonesia came from the small farmers, and in Malaysia 40 pct.

The palm oil industry has managed to reduce poverty, create employment and raise the income of the people.

The Indonesian government has a great interest in the sustainable production of palm oil which in 2010 reached 21 million tons of CPO from 7.5 million hectares of oil palm estates.

In the meantime, total world CPO production reached 44.3 million tons in 2010.

There are 1.5 million small farmers engaged in the CPO industry, and many of them succeeded in raising themselves from poverty by way of oil palm.

Prior to 2000 the average income of oil palm farmers reached 1000 to 1100 euro per year, and only 37 pct produced only 600 to 700 euro per year.

In 2009 the income of the farmers doubled to 2000 euro per year, while farmers who previously have an inccome of less than 700 euro were reduced to 16 pct.

The energy produced in one hectare of oil palm land reached 3.74 tons per year with energy produced nine times as much, while soyabean only produced 0.38 tons and sun flower 0.48 tons.

The outcome of a study in Indonesia, according to chairman of the Indonesian Palm Oil Council DR Rosedana Suharto showed a default value of CPO reaching 60 pct. Therefore Indonesia felt it is necessary to hold a dialog between the European Union and Indonesia as the world`s biggest CPO producer.

The European Union set the the standard default value of CPO at 19 pct, while 35 pct is needed for biofuel. The European Union said Renewable Energy Directive of the European Union (EU-RED) is still open with inputs from various countries to enable them to produce the right policy beneficial for everyone.

Malaysia offers 131 projects to Indonesian investors

English.news.cn   2010-12-04

JAKARTA, Dec. 4 (Xinhua) -- Malaysia has offered 131 projects to foreign investors in a meeting with Indonesian businessmen in the capital city of Jakarta, Kompas daily reported on Saturday.

"We offer 131 projects to investors, including businessmen from Indonesia. Now, we are more opened to investors to make Malaysia a developed country by 2020 with income per capita of 15,000 U.S. dollars," Deputy Prime Minister of Malaysia Tan Sri Dato Muhyiddin Yassin said Friday.

The meeting was attended by prominent Indonesian businessmen and officials from the country's Chamber of Commerce and Industry.

The projects offered consist of plantation, hospital, infrastructure and retail among others.

According to Chairul Tanjung, chairman of Para Group, a leading business group in Indonesia, investing in Malaysia was difficult in the past.

Editor: Mo Hong'e

M`sian PM donates aid worth Rp1 bln for Merapi evacuees

Antara News, Thursday, November 11, 2010 20:30 WIB

Yogyakarta (ANTARA News) - Malaysian Prime Minister Najib Razak has donated relief aid worth Rp1 billion to evacuees of the Mt Merapi eruptions in Sleman district, Yogykarta province.

Visiting Defense Minister Ahmad Zahid Hamidi symbolically handed the aid consisting of food, clothes and blankets to Yogyakarta Governor Sri Sultan Hamengku Buwono X here on Thursday.

"We bring with us the relief aid from the Malaysian prime minister for Mt Merapi evacuees. The aid is a manifestation of our concern about the disaster befalling residents living around Mt Merapi," Ahmad Zahid Hamidi said.

"We hope the aid will be useful for the evacuees. We are also ready to give another aid that is still needed, of course, with prior consent from the Indonesian government," he said.

Sri Sultan Hamengku Buwono X meanwhile expressed gratitude to the Malaysian prime minister for the relief aid. The aid would certainly be valuable for evacuees sheltered at post commands to meet their needs.

"The aid will later be handed to the Sleman district administration for further distribution to evacuee post commands," he said.

Mt Merapi again spewed hot clouds and lava on Wednesday morning. Ash rained down on Magelang district after the volcano recorded two days of decreasing intensity in its volcanic activities.

Surono, the head of the Volcanology and Disaster Mitigation Office, said on Wednesday although the intensity of Mt Merapi eruptions had started to drop the volcano`s activity remained high and therefore the highest alert status was still in place.

He warned people to stay away from Mt Merapi danger zones as the threat of hot clouds from the volcano had not diminished.

Seven foreign investors to build cocoa plants in RI

Antara News, Monday, October 18, 2010 22:30 WIB

Jakarta (ANTARA News) - Seven foreign investors have expressed keen interest in building cocoa processing plants in Indonesia following the imposition of duties on cocoa exports as of April 1, 2010.

The seven investors are ADM Cocoa and Olam International of Singapore, Guanchong Cocoa of Malaysia, Cargill and Mars of the United States, Armajaro of Britan, and Ferrero of Italy, Director General of Agribusiness at the Industry Ministry Benny Wachjudi said on Monday.

"I don`t know when the investors will start investing. But they have asked for clarification on the possibility of the government reviewing the imposition of duties on cocoa exports," he said.

Benny said Guanchong Cocoa was likely to build a cocoa processing plant with an annual capacity of 50 thousand tons early next year.

In addition, he said local cocoa producer PT Bumitangerang Mesindotama would also double the production capacity of its plant in Tangerang, Banten province, to 80 thousand tons per year.

The expansion project which would cost an estimated US$40 million would be completed in eight months` time, he said.

Benny said a number of downstream cocoa processing plants had begun to revive their activities after they ceased operation.

Chairman of the Indonesian Cocoa Producers Association (AIKI) Piter Jasman said the imposition of duties on cocoa exports had a positive impact on the growth of downstream industries.

"Fifteen AIKI members have raised their production capacity. The national cocoa powder and butter production is projected to reach 300 thousand tons in 2011," he said.

"Surya Baksara Jaya" operation to be conducted in Ambon

Antara News, Thursday, April 1, 2010 14:45 WIB

Ambon (ANTARA News) - A health services provision program dubbed "Operation Surya Baksara Jaya" will be conducted at seven villages in Ambon July 29-August 3, in conjunction with the international marine event Sail Banda 2010.

"A similar program as part of Sail Banda 2010 will also be conducted in Banda Neira, Central Maluku district at the same time," Sail Banda local committee chairman Cak Saimima said here on Thursday.

He said the health operation activity by using floating hospital would be conducted at Mamala, Morella, Liang, Waai, Tulehu, Passo, and Hutumuri villages on the island of Ambon.

"The Surya Baksara Jaya health operation will be supported by the biggest United States Navy floating hospital USNS MERCY T-AH19," Saimima said.

Technically and aesthetically, the 273-meter long USNS MERCY T-AH19 with 955 medical personnel and doctors is arguably the most sophisticated vessel in its class to assist KRI Dr Soeharso in giving medical services to the people of Maluku.

Saimima said that the so-called Sailing Medical Service (SMS) program would also help the people in the districts of Buru Selatan, West Southeast Maluku (MTB), and Southwest Maluku (MBD) from April to August 2010.

"A health simulation program will be conducted in Ambon, Banda Neira, and MBD district town of Wonreli in Kisar island from July 1 to August 10," Saimima said.

He said naval ships from Singapore, Malaysia, and Australia would be sent to Maluku to support the Surya Baksara Jaya operation in the districts of West Seram, West Southeast Maluku, and Southwest Maluku.

The floating hospital`s operations will be coordinated the health ministry assisted by the Maluku health office and so will be the target areas of the Surya Baksara Jaya operation program.

"We welcome the support from the US, Australia, Malaysia and Singapore in the operation because indirectly they also promote Maluku`s tourism potential and the Sail Banda event," Saimima said.

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RI, M`sia studying defense industry cooperation

Antara News, Tuesday, February 16, 2010 21:52 WIB

Jakarta (ANTARA News) - Indonesia and Malaysia are studying the possibility of cooperating in the defense industry field, including joint production, Defense Minister Purnomo Yusgiantoro said.

"Yes, we discussed defense industry cooperation just now particularly with regard to Malaysia`s interest in armored vehicles made by PT Pindad," Purnomo said in reply to ANTARA News` questions here on Tuesday.

Speaking after a ceremony where a Yudha Dharma Utama star was presented to former Malaysian armed forces commander General Tan Abdul Aziz, Purnomo said the two countries also discussed the possiblity of jointly producing defense equipment.

"We will combine what Indonesia can produce or do with what Malaysia can produce or do so that the concept of the cooperation is based on mutual benefit," he said.

General Tan Abdul Aziz said his country was interested in cooperating with Indonesia in defense industry development.

"We are trying to see what the two can do in the cooperation, well, including joint production. We will see the benefit that the two could obtain from the cooperation," he said.

Indonesia and Malaysia have agreed to solidify their cooperation in the defense industry field which was begun in March last year.

The cooperation still required a more systematic study for which each party would form a working group. Members of the Indonesian working group would come from the ministries of defense, finance, state enterprises, industry and research and technology. The working group would study what Malaysia was offering, he said.

Earlier, Malaysia had asked for its defense industry to be able to participate in tenders for maintainance and servicing of Indonesian defense system equipment.

However, Indonesia would still prioritize its own repair and maintainance services for the purpose. Indonesia would prioritize its defense industry and maintainance services for its main weapon system, he said.

Jakarta city to set up fire-fighting academy

Antara News, Tuesday, February 2, 2010 20:11 WIB

Jakarta (ANTARA News) - The Jakarta city administration plans to set up a fire-fighting academy to improve the quality of the national capital`s anti-fire human resources, a spokesman said.

The academy would admit students from anywhere in the country and educate them up to Diploma III level.

"In the future, this academy will hopefully become a model other regions in the country can emulate to obtain competent and skilled fire fighters," Paimin Napitupulu, head of Jakarta cirty`s fire-fighting office, said here Tuesday.

Speaking to reporters after receiving a delegation from the Malaysian fire-fighting agency at his office, he said the Jakarta city administration would cooperate with the Malaysian fire-fighting agency and three Jakarta universities to compose the curricula and find the teaching staff for the planned academy.

It would be located in Ciracas, a suburb on Jakarta`s southern outskirts in an area that was formerly used for basic military training.

Paimin said the academy was needed to solve Jakarta`s chronic shortage of trained fire-fighters which now stood at about 4,000 men.

At present the city`s fire-fighting department had a force of 2, 847 men whereas the ideal number to serve Jakarta`s population of 10 million was about 7,521 men, he said.

The shortage of fire-fighters was evident in the field where a fire truck that normally should be manned by six men was in reality operated by only three men, Densely-populated Jakarta is rather prone to fires mostly caused by short circuits in inadequate or sub-standard power line installations.

In January 2010 alone, a total of 47 fires broke out in the Indonesian capital. As many as 30 of the fires were caused by electricity short circuits and total material damage was estimated to total Rp11.31 billion.

The January fires made 437 people or 35 families homeless, killed one person and injured seven others.

DAVOS-Zurich Financial eyes Indonesia, Malaysia growth

Reuters, Wed Jan 27, 2010 7:55am EST

DAVOS, Switzerland, Jan 27 (Reuters) - Swiss Insurer Zurich Financial Services Ltd (ZURN.VX) is exploring ways to take a controlling stake in its Malaysian joint venture and grow its business in Indonesia, its Asia Pacific head said on Wednesday.

Europe's fourth-largest insurer by market value gets most of its Asian-derived revenues from former British colony Hong Kong, but mainland China and other markets in southeast Asia should get a larger piece of the pie, Geoffrey Riddell said.

"The main areas we are focused on are Malaysia and Indonesia," he told Reuters on the sidelines of the World Economic Forum in the Swiss mountain resort of Davos.

Zurich Financial now holds a 40 percent stake in a joint venture offering general and life insurance in Malaysia, but was exploring ways to take control of that business, he said.

"We would like to have control but we want to get to control in a way that is comfortable to the parties involved. It could take time. It could involve so many different things," he said, adding that the Zurich Financial could take a stake of up to 70 percent according to domestic rules.

Neighbouring Indonesia offers the greatest growth potential for the insurer, which only has a small, wholly-owned general insurance business there, he said.

"We'd like to be a significant general insurance and life player and there are multiple ways of getting there on both sides. We are looking at all the options," he said.

"We may acquire, it may be distribution agreements, it may be buying distribution, it is really at the strategic review stage," said Riddell, who is based in Zurich.

Zurich Financial has said it will expand its life insurance unit headcount in Hong Kong by 1,400 in the coming years, bringing the total number of agents to 2,400 as it accelerates business development in the city.

Asia contributes about 7-8 percent of the company's total sales, with Hong Kong accounting for half of regional sales.

"The other markets will have to grow very fast to catch up because we are continuing to grow in Hong Kong," he said. (Reporting by Tamora Vidaillet; Editing by Lin Noueihed)

A`lian investor interested in Gorontalo`s mining

Antara News, Wednesday, January 27, 2010 15:58 WIB

Gorontalo (ANTARA News) - Besides Japanese and Malaysian, an Australian investor has also expressed interest in cooperation in the mining sector in Gorontalo province.

Brian, the Australian investor, said here on Wednesday he would like to invest in the mining sector in Gorontalo because the province had a lot of gold deposits which had yet to be exploited.

"If the Gorontalo provincial administration accepts our offer, we will in the near future invest in this sector here," Brian said.

In response to Brian`s statement, Gorontalo Governor Gusnar Ismail said he welcomed the Australian`s offer.

"But we advise the investor first to survey the mining areas in Gorontalo where they intend to invest," the governor said, adding that in administrative matters the local government would help through a coordination with Gorontalo Regional Investment Board.

The governor expressed hope that the intention of the Australian investor to invest in Gorontalo would be realized on condition that it would be in accordance with existing regulations, namely acquiring the permit from the forestry ministry and the energy and mineral resources ministry.

"And the most important thing is that the gold mining activity should not cause environmental pollution," the governor said, adding that he would soon observe a gold mining area with around 1,000 workers in Kotamogabu, North Sulawesi.

Pertamina to expand business operations in Australia, Malaysia

Antara News, Tuesday, January 12, 2010 13:52 WIB

Jakarta (ANTARA News) - State oil company PT Pertamina is planning to expand its business operations abroad by building gas stations in Australia and Malaysia at a cost of Rp60 billion this year, a spokesman said.

"We hope , we can build two gas stations in Australia before the middle of this year," the company`s commercial and marketing director, Hanung Budaya, said at the company`s head-office here on Tuesday.

Hanung said Pertamina would set up gas stations in Australia after it had been running lubrication oil outlets in the country down-under.

"The opening of gas stations abroad will cost Rp60 billion and the expenditure has already been included in the company`s Work Plan and Budget for 2010 , and if the budget is sufficient for two gas stations, we will build two units abroad," Hanung said.

He said the company would acquire existing gas stations in Australia and Malaysia and run them under Pertamina`s trade mark.

"If we can do it in Malaysia this year we will try but if not, we will do it next year," Hanung said.

According to Hanung, Pertamina would cooperate with Petronas to acquire land in Malaysia while the fuel oil to be sold there would be supplied from Malaysia.

"Based on consideration of geographic proximity and business efficiency, Pertamina will probably build the gas station in the Malaysian state of Sarawak," Hanung said.

Indonesia, Malaysia Still Working on Maid Agreement

Jakarta Globe

Malaysian employers are complaining about the lack of domestic helpers from Indonesia as the two countries work on wrapping up a new Memorandum of Understanding (MOU) designed to protect workers.

“The next meeting between Malaysia and Indonesia on the issue will hopefully be held here soon, and we are hoping that we can conclude all the discussions and sign the new MoU then,” Datuk Seri Mahmood Adam, Secretary-General of Malaysia's Home Ministry, told the Malaysia Star newspaper.

The Star said there had been numerous public complaints recently over the delay.

Indonesia stopped sending maids to Malaysia in June following public outrage over the case of an Indonesian maid who had been tortured for three years by her Malaysian employer. The countries have been discussing minimum wages and protections for workers.

JG

Pertamina Loses Monopoly on Domestic Subsidized Oil Products

The Jakarta Globe

An Indonesian worker rides a bike past barrels of oil at a Pertamina depot. (Photo: Bagus Indahono, EPA)

Indonesia’s state oil firm Pertamina has lost its exclusive right to distribute subsidized oil products in 2010 after a unit of Malaysia’s Petronas and a local firm won supply tenders, a regulator said on Monday.

Petronas has won the right to distribute 20,440 kiloliters (128,547 barrels) of subsidized low-octane gasoline in the city of Medan, North Sumatra, next year, the head of Indonesia’s downstream oil regulator, BPH-MIGAS, said.

Indonesia’s PT Aneka Kimia Raya (AKR) Corporindo would also distribute 56,500 kiloliters (335,328 barrels) of subsidized diesel oil in Lampung province, in South Sumatra and in the cities of Banjarmasin and Pontianak in Kalimantan.

“By law, Petronas and PT AKR Corporindo are allowed to supply subsidized fuel. After we evaluated their capabilities in providing fuel, we selected them,” Tubagus Haryono, head of BPH-MIGAS, told reporters.

The remaining subsidized fuel would be supplied by Pertamina in 2010.

Overall, the government planned to supply of 21.4 million kiloliters (134.5 million barrels) of subsidised gasoline and 11.2 million kiloliter of subsidized diesel oil in 2010, Haryono said.

This year, Indonesia expects 19.44 million kiloliters of subsidized low-octane gasoline and 11.6 million kiloliter of diesel to be supplied.

BPH-MIGAS decides each year on the rights to supply and distribute subsidised oil products such as low-octane gasoline, kerosene and diesel.

Royal Dutch Shell Plc had also joined the tender to distribute fuel this year.

“The volume of subsidized gasoline and diesel is expected to be higher than the government’s 2009 plan, due to higher transportation consumption,” Haryono said without elaborating.

Separately, the director general of oil and gas at the energy ministry, Evita Legowo, said the government wanted the supply of subsidized fuel to be cut in the future.

The level of consumption of fuel is critical because it helps determine the scale of subsidies the government has to set aside in the budget.

Pertamina’s monopoly over all sectors of the oil market was ended in 2001, and three years later Indonesia opened up its domestic downstream oil business to foreign firms, paving the way for them to directly import fuel and sell to local customers.

But Pertamina had up until now retained the exclusive rights to supply subsidized oil products — which includes almost all products except for premium motor fuel — in the domestic market.

Reuters

Malaysia to set up museum in Makassar

Antara News, Sunday, December 27, 2009 11:35 WIB

Makassar (ANTARA News) - The Malaysian government will open a museum gallery in Makassar, provincial capital of South Sulawesi, in 2010, a Malaysian official said.

"We will build a Malacca museum in the city of Makassar in the near future. We are planning to commence the building of the museum early in 2010," head of Malaysia`s Malacca Museum Datuk Wira Hj Hamdin Bin Abdollah said here over the weekend.

He said that the Malaysian government expected that a number of historical items from Malacca, Malaysia, would be displayed at the museum.

Makassar was known as the biggest port city several centuries ago.

The Malaysian official said that the Malaysian government had also set up Malaccan museum galleries in Indonesian cities such as in Sawahlunto (West Sumatra), Palembang (South Sumatra), Jambi, Aceh and Lampung.

"We have established Malacca museums in these cities," Datuk Wira said.