JAKARTA, Jan. 26 (Xinhua) -- Indonesia and Jordan will build a joint chemical company with estimated investment cost of 310 million U.S. dollars, an official said here on Wednesday.
Megananda Daryanto, deputy minister for primary business at the Ministry for State-Owned Enterprise, told a parliamentary hearing that the cooperation is a part to increase domestic fertilizer production. "Our ministry has agreed a cooperation plan to develop a company that will produce acid phosphate, acid sulfate and as well as nitrogen, phosphorous and potassium (NPK) between local fertilizer company of PT Pupuk Sriwijaya Palembang and Jordan Phosphate Mine Co. Ltd," said Daryono.
Mustofa, director of development technique at PT Pupuk Sriwijaya Holding Company, said that the factory will be located in Gresik of East Java province.
Mostofa said that the plan is entering tender process to select construction developer. "The project will be carried out in 2012 to 2015," he said.
According to cooperation plan provided by PT Pupuk Sriwijaya Palembang, a subsidiary of PT Pupuk Sriwijaya Holding Company, the factory will have a capacity to produce NPK of 1 million ton per year, phosphoric acid of 200,000 tons per year and sulfuric acid of 800,000 ton per year.
It also says that the factory will need materials, consisting of ammonia of 150,000 tons per year, rock phosphate (imported from Jordan) of 800,000 tons per year and sulfur of 270,000 tons per year.
