United Arab Emirates company Ras Al Khaimah Investment plans to invest US$5.2 billion in coal, aluminium and power projects in Kutai, East Kalimantan.
The company aims to develop coal mines and an aluminium processing plant as well as supporting infrastructure, including a 130km coal railway and 1400MW power plant.
It plans to begin construction as soon as possible and have the work completed in the next two years.
Ras Al Khaimah proposes a large-scale coal mine to begin production later this year with initial annual capacity of 1 million tonnes but increasing to 17 million tonnes in 2014 and 35 million in 2017.
The proposed aluminum plant, which will have annual production capacity of 500,000 tonnes, is expected to begin commercial production in 2014.
The company also intends to build a 1400 MW power plant to provide power for the aluminum processing plant.
Indonesia’s Ministry of Transportation director general of railways Tunjung Inderawan stated in December that the ministry had issued permits to Trans Kutai Kencana, a joint venture between PT Kutai Timur Investama, owned by the East Kutai administration, and Middle East Coal Private Limited, a subsidiary of Ras Al Khaimah, to build a 130km rail project for coal transportation.
www.rak-ia.com