Business and Finance

Van Oord Deepening Jakarta Port

PT PP (Persero) TBK has awarded Van Oord a contract for deepening the port and reclaiming land for a new terminal area in Tanjung Priok Jakarta the largest container port in Indonesia.

The contract is part of the Kalibaru North Container Terminal Phase 1 Project which will expand the port of Tanjung Priok by 4.5 million TEUs (twenty-foot equivalent units).

The client for the large port expansion is IPC Indonesian Port Corporation. The entire project will take approximately three years to complete and the contract value amounts to more than EUR 150 million ($201 million). Van Oord said the project provides a sustainable impetus for the economic growth of Indonesia.

The dredging work will begin in the second quarter of 2013 and will be completed over the course of 24 months. This new cooperation was announced during the Infrastructure Forum organized by the Embassy of Indonesia in cooperation with FME-CWM TU Delft and Indonesia Nederland Association. The Ambassador of Indonesia H.E. Retno L.P. Marsudi opened the Forum with guests of honor Vice Minister of Transportation H.E. Bambang Susantono and Vice Minister of Trade H.E. Bayu Krishnamurti.

Van Oord said economic diplomacy is a top priority for the government of Indonesia. The forum was one of the efforts to strengthen economic ties between Indonesia and the Netherlands in particular on the fields of infrastructure logistics and transportation.

The Tanjung Priok project includes deepening the port and expanding and deepening the access channel. A total of 25 million cubic meters (a little less than 33 million cubic yards) of material will be moved. Most of the material will be pumped into closed basins adjacent to the new terminal for further expansion of the port. Approximately 10 million cubic meters of sand will be removed from the seabed in preparation for construction of the new terminal. Van Oord will use trailing suction hopper dredges a cutter suction dredge and a backhoe.

Elsewhere in Indonesia Van Oord is creating a poldered island for the Kapuk Nagah Indah project intended for residential construction on the north side off the coast of Jakarta. The project involves dredging 20 million cubic meters of sand from a borrow area at sea for building the island. Van Oord also maintains the access channel to the port of Bengkulu on the island of Sumatra.

“With this cooperation we combine the economic strength of Indonesia with our marine ingenuity” Van Oord CEO Pieter van Oord said.