Tanan Bumbu Stop Iron Ore Shipment

By Ulul Maskuriah

Banjarmasin, South Kalimantan (Antaranews) - Regent of Tanah Bumbu Mardani H Maming said starting 2014 crude iron ore shipment out of the country will be stopped to meet needs of local and national industry.

"In 2014 the central government ban iron ore shipments out of the country, except processed product, "said Regent in Banjarmasin, Friday.

Anticipating this, he said, in 2013 employers along with a Chinese company has built steel seed company with iron ore as principal raw material.

The construction, he said, planned to be completed within three years or by 2016. "I'm sure the prospect of iron ore companies in Tanah Bumbu pretty good, could be as in Cilegon, "he said.

In fact, he said, in terms of the price, it will be much cheaper, because the raw material iron ore in the region itself, so no need to bring in from other areas.

In addition to companies from China, currently PT Krakatau Steel (Persero), the largest state-owned steel company in Indonesia, has previously invested in Tanah Bumbu and began operating.

PT Krakatau Steel partnered with PT Aneka Tambang then form a joint venture company named PT Meratus Jaya Iron & Steel (MJIS) to realize the plan to develop of steel industry in South Kalimantan.

The factory built in Kapet (Integrated Economic Development Zone) over an area of approximately 117 hectares initially an asset of South Kalimantan Provincial Government then made capital investments into equity.

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