IBT fuel terminal construction to be completed in Oct

IDX-listed coal mining company PT Adaro Energy reported on Friday that construction of the 4x15, 000 kiloliters fuel terminal at PT Indonesia Bulk Terminal (IBT) coal port compound will be completed in October this year.

Adaro is teaming up with energy giant Royal Dutch/Shell to develop the terminal, which is aimed at ensuring a guaranteed and lower cost fuel supply for Adaro?s operations, and developing liquid bulk-based traffic for IBT from fuel storage and delivery.

Adaro said it is finalizing a 15-year BOOT (Build, Operate, Own, and Transfer) Agreement with Shell. The BOOT agreement will include the entire fuel terminal's project cost, to be borne by Shell, the company said.

IBT operates a coal terminal, which mainly serves transshipment for its sister company coal miner PT.Adaro Indonesia, with throughput capacity of 12MTPA.(alex)