Elnusa says refinery project is feasible
Friday, December 2 2005 - 09:23 AM WIB
Oil services company PT Elnusa, a subsidiary of state-owned oil and gas firm PT Pertamina, said Friday the ongoing feasibility study's preliminary results showed that plans to build a refinery was feasible.
Elnusa president Rudy Radjab said the study had calculated that the internal rate of return (IRR) for the project would be 17 percent.
Rudy earlier said the US$2.5 billion project is to be located either in Banten, southern part of Central Java, or Riau provinces. Construction phase of the project is scheduled to start in 2007 and it is expected to commence operation by 2009.
Rudy said Friday that Elnusa would complete the study by end of this year.
He also said Elnusa planned to sell its shares through an initial public offering next year. ?The board of commissioners have approved the plans,? Rudy added. (godang)