Hopewell continues Tanjung Jati B negotiation
Thursday, March 22 2001 - 04:30 AM WIB
Hong Kong-based Hopewell Holdings Ltd said on Wednesday talks with Indonesia were continuing on recovery of US$200 million of its investment in the stalled Tanjung Jati B power station project in Central Java.
"Negotations are going very well for the Indonesian government to acquire the power plant from us at a price and in principle we think that we...may be getting up to, say, US$200 million back," Executive Director Robert Nien told a news conference.
"Certain things have to be done on the part of the Indonesian government before this will be realised. But I think we have in principle agreement...to that effect," Nien said, adding the firm could not predict when talks would end.
Infrastructure firm Hopewell has been trying to recover its investment in the project since it was halted in February 1999 when Jakarta announced the rationalisation of all independent power projects.
The company made a provision of HK$4.4 billion (about US$564 million at current exchange rates) against he cost of its investment in the project in its 1997/98 results. (*)