16:19 | 17/09/2017 Industry
Indonesia’s PT. Intra Asia Corpora late last month signed a Memorandum of Understanding (MoU) with Viietnam’s Hong Phat Coal and Resources Company to build a coal port in southern Vietnam.
|Coal is prepared for shipment at a port in Indonesia — Photo thejakartapost.com|
“The port will especially be used for cargo and logistics that will serve exports and imports between Indonesia and Viet Nam, particularly coal,” Intra Asia Indonesia commissioner Lutfi Ismail said on thejakartapost.com.
The port, worth US$1 billion, is designed to have a capacity of 15-20 million tonnes of coal per year and will help cut logistics costs for importing coal from Indonesia. Hence, it will facilitate the sustainable development of coal exports from Indonesia to Vietnam and supply fuel to coal power plants in Vietnam.
Indonesia’s Central Statistics Agency recorded that trade between Indonesia and Vietnam reached $6.3 billion last year, while Indonesia suffered a $182.9 million deficit.
This year, Indonesia is targeting to export 4.5 million tonnes of coal to Vietnam, Lutfi added.