Balikpapan Coal Terminal

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A new $50 million coal loading terminal at Indonesia's Balikpapan, mid-way on the east coast of the island of Kalimantan, was commissioned in late January with the shipment of 40,000 tonnes of steam coal to Japan. Operating as a public facility, the port was built and is run by a private sector domestic Indonesian company, PT Dermaga Perkasa Pratama. Prominent Indonesian domestic companies, such as Indocement of the large conglomerate Salim group, are shareholders of the company. The port aimed to serve the Mahakam River producers to the north of Balikpapan. These producers barge coal down river for subsequent off-shore loading into bulk carriers. Producers include the large-scale mines operating as contractors to the Indonesian state coal mining company, PT Tambang Batu Bara Bukit Asam (PTBA), PT Multi Harapan Utama and PT Indominco Mandiri (owned by the Salim group and expected to be in production in 1996), and private domestic owned coal mines PT Kitadin, PT Bukit Baiduri and Fajar Bumi Sakti. Together in 1994 these mines produced about 3.5 million tonnes of steam coal and exported about 3 million tonnes.