JAKARTA (Yosefardi) – The Ministry of Industry is now developing industrial estate in Bintuni bay, West Papua with investment expectedly reaching US$7 billion, equivalent Rp70 trillion.

MS Hidayat, Industry Minister, said petrochemical and fertilizer companies operated in Bintuni industrial area get gas supply from Tangguh block.

PT Duta Firza and LG International, South Korea business group, plans to build petrochemical plant in a cluster in Bintuni’s industrial area which costs US$3 billion, equivalent Rp30 trillion.

Also Ferrostaal Industrial Projects GmbH, based in Germany, intends to build petrochemical plant, partners with PT Chandra Asri Petrochemical Tbk controlled by Prayogo Pangestu. The plant might costs US$1.8 billion.

State fertilizer firm PT Pupuk Indonesia will also invest US$1.8 billion in Bintuni bay. Palm plantation companies are also interested to invest there, also produce downstream product such as oleochemical, apart from crude palm oil (CPO).