ASL Marine to build floating terminal for Balikpapan Coal Terminal

Singapore-based ASL Marine Holdings Ltd will construct a 65,000 dwt floating terminal pontoon worth S$56.1 million, to be operated by its affiliate ASL Energy at the Balikpapan Coal Terminal (BPCT) in East Kalimantan Province.

ASL Energy is to charter the floating terminal to PT Dermaga Perkasapratama, the operator of BPCT, for 10 years starting the second quarter of 2006, ASL Marine said in a statement on Wednesday.

ASL Marine also said construction of the floating terminal would be started in the fourth quarter this year and would be completed in the first quarter of 2006.

ASL said the floating offered several inherent advantages over a shore-based coal terminal. “It can be relocated to be in close proximity to the mine, or out at sea where waters are deep enough for the ocean-going vessels to be berthed. This provides coal producers with flexibility, resulting in cost savings which would otherwise be incurred due to distance and transport logistics,” said the company in a statement.

ASL said its was also contracted to construct 24 flat top deck cargo barges, which includes an order by ASL Energy for an additional 20 flat top deck cargo barges to supplement its current order of 20 pairs of tugs and barges. The contract, said the company, is to satisfy the growing requirements of PT Pelayaran Segara Niaga Utama (PT PSNU) for the transportation of coal in Kalimantan.

Currently, ASL Energy has a 5-year coal transportation contract, worth S$127 million, from PT PSNU, a provider of logistical support to the various coal concessions in Kalimantan. (robert)