Berlian Laju Tanker

completed

Summary Of Project Information (SPI)Project NameIndonesia-BLTRegionAsiaSectorProject No007978Projected Board DateMay 29, 1997Company NamePT Berlian Laju TankerTechnical Partner and/or Major Shareholders BLT’s major shareholder is the Bina Surya Group through various group companies (51.5%), management and employees of BLT (0.5%) and the public (48%).Project Cost Including proposed IFC investment Estimated project cost is US$120.0 million. The proposed IFC investment would include an A-loan of up to US$25.0 million and an equity investment / quasi equity investment in BLT of up to US$20.0 million. Location of project and Description of site BLT is located in Jakarta, Indonesia. The company is engaging mainly in inter-island and regional Asian trades.Description of Company and Purpose of Project BLT currently employs a fleet of 13 cargo vessels and 4 tug boats. BLT’s markets include the transportation of crude oil, other oil products, edibles and basic chemicals. In 1995 petroleum products accounted for 66% of cargo capacity, LPG for 3.6%, chemicals for 18.9%, edibles for 6.3% and asphalt for 5.1%. BLT proposes to expand its fleet by acquiring 10 newbuilt tankers. The project will increase BLT’s current tonnage of 98,946 DWT (incl. a 5,600 DWT chemical tanker to be delivered in May 1997) to 163,946 DWT. These tankers will be employed in the basic chemicals trade as well as transportation of crude palm oil (CPO) from Indonesia and Malaysia to the Indian subcontinent. The project will help to increase the share of Indonesian vessels in domestic trade and foreign trade. Recent amendments to the tax legislation and regulatory environment in Indonesia have helped to create favorable conditions for Indonesian ship owners to expand their fleet under the Indonesian flag. IFC has been asked to help structuring the financing for the Project along with a European bank and arrange financing both on its own account and through participant banks. IFC‘s equity and quasi equity investment will help BLT and the Bina Surya Group to restructure their shipping businesses and will strengthen the equity portion of the expansion program.Environmental Category and Issues This is an environmental review category B project. Environmental, health and safety issues associated with this project include air emissions, liquid effluents, spill prevention, hazard control, fire prevention, emergency response and marine safety. BLT will operate its new and existing vessels in accordance with all applicable International Maritime Organization (IMO) pollution prevention and safety standards, and its other operations in accordance with relevant World Bank policies, and general environmental, health and safety guidelines established for this project.The is April 15, 1997 from the Public Information Center.Date SPI sent to PIC March 26, 1997For Additional Information contact: Corporate Relations Unit -telephone: (202) 473-7711facsimile: (202) 676-0365Environmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).