Kalimantan Rail to invest US$1.8 billion in East Kalimantan
Thursday, June 7 2012 - 07:39 AM WIB
Russian investment firm Kalimantan Rail Pte Ltd, subsidiary of Russian state-owned Russian Railways, plans to invest US$1.8 billion to construct a railway for transporting coal in East Kalimantan province.
?The railway is expected to start operation in 2017, and its capacity may be scaled up to 20 million tons a year in three years time,? company director Andrey Shigaev said during Coaltrans Asia conference in Bali as quoted by Bloomberg.
The company is set to build a 180-kilometer line with an initial capacity to carry 10 million tons of coal per year, financed by Russian Railways.
Kalimantan Rail is in discussions with coal miners about their investments in the project, Shigaev said, declining to identify potential investors because the talks are confidential. (*)