East Java News

Indonesia offshore vessel operator Wintermar has secured five-year contracts for two of its offshore support vessels with an unnamed multinational oil and gas firm in Indonesia.Under the contracts, the two Anchor Handling Tug Supply vessels will support production at an oil field off the northern coast of East Java.The vessels will support an FPSO unit in a producing field. The total contract value is $22 Million. As at May 24, Wintermar's contract backlog stood at $76.7 million. Sugiman Layanto, Managing Director of PT Wintermar Offshore Marine Tbk said:"This long-term contract underlines the Indonesian government commitment to invest heavily to raise the country's output of oil and gas after some years of decline.

Indonesian President Joko Widodo said on Thursday that authorities would build houses for the relatives of the crew of a submarine that went missing before being found in pieces on the bottom of the Bali Sea, killing all 53 inside.The German-built KRI Nanggala-402 was discovered at a depth of nearly 840 meters (2,756 ft) on Sunday after losing contact days earlier while preparing for a torpedo drill."We will build houses for you...

DP World and Indonesia’s leading conglomerate Maspion Group have signed two preliminary agreements to create a $1.2 billion container port and industrial logistics park in East Java.It is the first joint venture of its kind in the Indonesian transportation sector involving a private sector partnership between an FDI partner and a private sector Indonesian company in Maspion, within the context of cooperation in maritime services with the state-owned maritime services operator Pelindo III. Two term sheet agreements aim to create a modern, integrated container terminal and industrial logistics park, expected to play a vital role as a trade gateway for Eastern Java.It includes cooperation in setting up Maspion International Container Port in Gresik…

At least 17 people, including four children, died after a motorboat sank in choppy waters off the Indonesian island of Java, a government official said on Tuesday.The 10-meter (33 ft) wooden vessel with 57 people on board was hit by high waves off Sumenep in East Java province on Monday, said Tholib, a spokesman for the search and rescue agency.Rescue teams saved 39 passengers and are searching for one missing person, he added.Indonesia, a vast archipelago, has a patchy transportation safety record, with frequent ferry accidents often caused by overcrowding.Last year, an overcrowded ferry with more than 200 passengers sank in Lake Toba in Sumatra. Eighteen people survived and nearly 200 are thought to have drowned in one of the world's deepest volcanic lakes.Reporting by Tabita Diela

Keppel Offshore & Marine's (Keppel O&M) wholly-owned subsidiary Keppel Shipyard Ltd (Keppel Shipyard) is on track to deliver a Floating Production Storage and Offloading (FPSO) vessel to Armada Madura EPC Limited (Armada Madura), a joint venture between Shapoorji Pallonji Group (Shapoorji Pallonji) and Bumi Armada Berhad (BAB). The spread-moored FPSO unit was named Karapan Armada Sterling III during a naming ceremony held earlier this month at Keppel Shipyard. The FPSO will be deployed to the Madura BD Field in Madura Strait East Java which is operated by Husky-CNOOC Madura Limited (HCML). Mr Michael Chia, Managing Director (Marine & Technology) of Keppel O&M…

Energy giant Rosneft said on Thursday its trading arm had delivered an inaugural gasoline cargo to the Asia-Pacific, marking what could be Russia's first foray into a region dominated by OPEC producers from the Gulf. The 200,000-barrel cargo, bought by Rosneft from the international market and taken by Indonesian state energy company Pertamina, was delivered on free-on-board (FOB) terms to Malaysia. Rosneft declined to say from which refinery it had received the cargo. It also did not say from or to which ports it was being delivered. The cargo was shipped to Pertamina within a term agreement for the delivery of 1.2 million barrels signed between the companies in June, Rosneft said.

In early 2015, Robert Allan Ltd., Naval Architects of Vancouver, Canada was awarded a contract to provide four customized versions of its distinctive RAzer series designs of ASD tugboats to the Indonesia Port Corporation, “PT Pelabuhan Indonesia III (PERSERO)”, commonly known as Pelindo III. While Robert Allan Ltd. had long been very active in the Asian market, these designs were its first directly for a company from Indonesia, a country estimated to employ more than 2,000 tug boats.

PT Pal’s Surabaya Shipyard has launched the first of two SIGMA 10514 Perusak Kawal Rudal (PKR) guided-missile frigates designated for the Indonesian Navy (TNI AL). PT Pal built these ships in collaboration with Damen Schelde Naval Shipbuilding (DSNS). The launch ceremony was attended by guests of honor Indonesian Minister of Defense, Ryamizard Rycudu along with Coordinating Minister of Maritime Affairs, Rizal Ramli; ambassadors from neighboring countries; the Governor of East Java, Soekarwo and Chief of the Navy Admiral Ade Supandi.

It was an historic moment for Indonesia when President of Indonesia inaugurated the Lamong Bay Terminal in Surabaya, East Java, operated by state-owned PT Pelabuhan Indonesia III (Pelindo III). The Lamong Bay is the first green-concept container terminal in the country, and will increase the port’s annual capacity from 1.5 million to 3.5 million TEUs. Once fully operational, the total capacity of this bay terminal will be 5.5 million TEUs. "We have forgotten and I need to remind that two-third of Indonesian regions are water," President Joko "Jokowi" Widodo spoke before the audience, calling on regional heads and the people to pay attention on Indonesian maritime affairs. Jokowi hoped that the integration of Indonesian ports would reduce transportation and logistics cost.

The Indonesian government is expected to start operation of a new online system at the country’s four major ports in September this year. The operation of the long awaited Inaportnet system, which will allow traders to request clearances and permits online to move cargoes will be operational by September this year, according to the Transportation Ministry's sea transportation director general, Bobby Mamahit. Tanjung Priok port has already operated the system since last year and it is expected to be integrated into the country’s three other main seaports, namely Belawan in North Sumatra, Makassar in South Sulawesi and Tanjung Perak in East Java.

The world's first ever carrier vessel for compressed natural gas (CNG) is to be powered by an integrated Wärtsilä propulsion system, chosen for its energy efficiency and environmental sustainability. The vessel is being built at the Jiangsu Hantong shipyard in China ordered by CIMC ENRIC and designed by CIMC ORIC for end user Perusahaan Listrik Negara (PLN), the Indonesian state owned energy company. The order with Wärtsilä was placed during the fourth quarter, 2014. The new vessel will feature a 9-cylinder Wärtsilä 34DF dual-fuel main engine operating primarily on gas. Wärtsilä will also supply the controlled pitch propeller and gearbox, all of which will be fully integrated so as to optimise the propulsion efficiency.

President Joko Widodo, popularly known as Jokowi, roadmap for Indonesia as a maritime power in the Indo-Pacific region, has been lauded by the international community, with several countries offering to cooperate with the government to realize this vision, according to a report in the Jakarta Post. Coordinating Maritime Affairs Minister Indroyono Susilo revealed that when the President attended the APEC Summit in Beijing and the G-20 Summit in Australia leaders of top countries said they were ready to cooperate with Indonesia in the fields of fisheries and maritime resource development as well as maritime infrastructure development and capacity building. Indonesia is also prioritizing cooperation in the maritime resources and fisheries sectors, he said.

M3nergy Berhad celebrated the completion of their latest FPSO vessel, Ratu Nusantara, at a launch ceremony at the Keppel Shipyard in Singapore. Under the auspices of SKK Migas and PC Ketapang II Ltd (PCK2L), the newly named vessel will embark on its inaugural voyage for the Bukit Tua oil and gas field in Indonesia operated by PETRONAS. Ratu Nusantara, a converted FPSO, has been constructed from a 1994-built Aframax tanker, 'Scorpius' which was meted out in the last quarter of 2013.

McDermott International, Inc. announced today that one of its subsidiaries has been awarded a fast-track fabrication contract by PC Ketapang II Ltd., a subsidiary of PETRONAS for the BTJT-A Jacket as part of the Bukit Tua Development Project in the Ketapang block of East Java, Indonesia. The contract is included in McDermott’s second quarter 2014 backlog. McDermott will fabricate the four-leg 1,100-tonne wellhead jacket, from the Batam Island fabrication facility in Indonesia. The project is expected to be complete by mid November 2014.

ABS announced it has been chosen to class the world's first compressed natural gas (CNG) carrier ordered by Pelayaran Bahtera Adhiguna, a subsidiary of Indonesia's state-owned power company Perusahaan Listrik Negara (PT PLN). The award for the precedent-setting ship, to be built at Qingdao Wuchuan Heavy Industry's shipyard in northern China, is the latest example of ABS' leadership in the gas ship sector, where the largest share of LNG ships is presently being built to its classification standards.

PT AKR Corporindo, a distributor of basic chemicals and petroleum products, plans to spend 2.3 trillion rupiah ($198.84 million) on investment in the second half of this year, to finance its Java Integrated Industrial and Port Estate project, said Director Suresh Vembu. The firm is working in co-operation with state port firm PT Pelindo on the project situated on a 1,700-hectare site in Gresik, East Java, and has secured loan commitments from local banks for the project, Vembu said. (Investor Daily) Note: Reuters has not verified this story and does not vouch for its accuracy. (Compiled by Jakarta Newsroom; Editing by Sunil Nair) ($1 = 11567 rupiah)

International law firm Watson, Farley & Williams Asia Practice LLP (WFW) said it advised a joint venture involving M3nergy and PT Transamudra as sponsors on a $182 million term facility and $38.4 million guarantee facility. The funds will finance the floating production, storage and offloading facility named FPSO Ratu Nusantara. The FPSO Ratu Nusantara is scheduled for operation by Petronas Carigali in the Bukit Tua oil and gas field in the Ketapang block, offshore Madura Island, East Java, Indonesia. Partner Andrew Nimmo led the WFW Asia Practice team for this deal, assisted by senior associate Shawn Er. M3nergy is an emerging exploration and production company headquartered in Malaysia.

International classification and verification company RINA Services has performed the design approval for the world's largest Compressed Natural Gas storage plant in Grati, Indonesia. The CNG will feed the local 300 MW power plant. The plant, operated by Indonesia’s PT PLN (Persero), burns up to 15 million standard cubic feet per day (mmscfd) of gas from the CNG storage, driving three gas turbines. Adding a CNG plant to the existing power station tackles the issue of peak load demand. The CNG storage takes in pipeline gas when the plant is not at full capacity.

Konecranes to deliver container handling equipment to Indonesian state-owned terminal operator PT Pelabuhan Indonesia III (Persero). The order comprises 10 ship-to-shore cranes, 20 automated stacking cranes and five straddle carriers. Delivery is scheduled for 2014 and 2016. The value of the order is not disclosed, but is more than €100 million (nearly US$131-million). The Indonesian state-owned terminal operator PT Pelabuhan Indonesia III (Persero), is also known as Pelindo III.

Hallin Marine, a Superior Energy Services company, has announced that its SOV Windermere subsea operations vessel is providing offshore support services in the Maleo gas field off Madura, East Java. Operating on behalf of a major Indonesian oil company, the Windermere is engaged in a wide range of testing and platform support operations. These include repair and maintenance of subsea gussets, underwater welding of gusset plates and grouting work on mobile offshore production unit (MOPU) legs. A central element of the project is the Windermere's integral 15-man saturating diving facility.

Since 1980, PT Dumas Tanjung Perak Shipyard in East Java has build dozens of vessels for various departments of the Indonesian Government. Their most recent delivery, the Hiu Macan Turul 401, was designed and built for the Department Kelautan Dan Perkanan. The vessels 42.5 length and seven-meter beam provides accommodation for up to 18 people. Propulsion power is provided by two Cummins QSK60-M engines each producing 2500 HP at 1900 RPM. The engines turn into Twin Disc MGX 5600 gears with 3.51:1 ratios. The boats 1540 by 1659 m/m propellers were provided by Singapores Asia Foundry.

State gas company PT Gas Negara Tbk/PGN is planning to build three LNG (liquefied natural gas) terminals at a total cost of $1.782b in Java and Sumatra, reports said. The terminals would be built in West Java, East Java and Medan (North Sumatra). He said demand for gas in West Java was now recorded at 1,112 million standard cubic feet per day (MMSCD). Yet, gas supply capacity in 2011 was expected to be only 731 million cubic feet per day (MMCFD) which would be used up by 2024. The funds would come from PGN and foreign loans. Construction work was scheduled to be commenced in the fourth quarter of 2008 and continue until 2011 while the operating contract as well as maintenance would last until the fourth quarter of 2011-2016. Source: Antra News

Transocean Sedco Forex Inc., the world's biggest offshore driller, said one of its rigs was damaged by a gas blowout while drilling a well offshore Indonesia for Australia's Santos Ltd. Transocean said all 92 crewmen aboard the jack-up rig Trident IX were evacuated without injury to a service vessel. It said it expected insurance to cover the cost of the damage that appeared to be limited to the drill floor area. The incident which occurred on Thursday in the Madura Straits, offshore East Java, was caused by an uncontrollable release of natural gas which subsequently ignited.