AKR to build new fuel storage in S. Kalimantan

JSX-listed fuel distributor and chemical producer AKR Corporindo Tbk. planned to build a giant fuel bunker having a capacity of 40,000 kiloliters at the Stagen Seaport, Kotabaru, South Kalimantan, Kontan Daily reported on Thursday.

 

AKR would invest Rp 100 billion in the project in the first stage, around one third of the total cost of Rp 300 billion.

 

AKR Manager Jimmy T said that company guaranteed a smooth supply of fuel oil in South and Central Kalimantan once the development of the bunker was completed. The company also offers a lower price of fuel, compared to that offered by Pertamina.

 

Kotabaru Regent Sjachrani expected the bunker to be capable of ensuring smooth supply of fuel oil to local fishermen. In the meantime, state owned port operator Pelindo’s operational director Fariz Assegaf voiced supports for the project, while promising to upgrade the local seaport so that large-scale ships and tankers could berth.

 

Earlier, AKR Corporindo isaid it was eyeing to increase sales of fuel products to 1 million kiloliters in 2008, up from the 600,000 kiloliters sales target in 2007. The company managed to sell 256,000 kiloliters of fuel in 2006.

 

The increase would mainly be coming from the sale of high speed diesel, fuel oil and ID, the company said in April 2007. (*)