BRI to finance 15 coal briquette projects

A business association on Tuesday signed a memorandum of understanding with state-owned bank BRI to build 15 coal briquette factories to provide cheaper cooking fuel for households.

?The 15 factories, which would have total capacity of 150,000 tons of coal briquette a year, would be built with total investment of about Rp 50 billion,? chairman of the Hiswanamigas (the Association of National Oil and Gas Enterpreneurs) Nur Adib said.

Five factories are expected to start production by March or April next year. Meanwhile, the constructions of the other factories are scheduled to be started early 2006 and they are expected to begin operation in the same year.

According to Nur, the factories are proposed to be located in Padang, Medan, Palembang, Bengkulu, Serang, Cilegon, Bandung, Cirebon, Solo, Semarang, Surabaya, Pekalongan, NTB, and East Kalimantan.

Nur added that the total output from the factories is targeted at one million tons in 2010. (dino)