BUSINESS

ICTSI breaks ground for Indonesia terminal

The EJMT will support the growing economy of East Java

Raffy Ayeng

The International Container Terminal Services Inc. and an Indonesian offshore oil and gas company have broken ground for a new terminal in Lamongan, East Java, Indonesia.

Construction of the East Java Multipurpose Terminal to be operated and managed by joint venture partner East Log Holdings is being done by local contractor PT PP (Persero) with completion scheduled for September 2024.

The groundbreaking ceremony on 12 October was attended by various stakeholders, including shipping lines, importers, exporters, industry bodies, and government representatives.

In a statement, the Razon-led ICTSI said the EJMT consists of a 300-meter quay line, breakwater, super heavy-lift breakbulk deck and berthing depth of 13.5 meters.

It will be supported by two post-Panamax mobile harbor cranes and other cargo-handling equipment.

Patrick Chan, EJMT's chief executive officer, said they are very excited about the construction of the new terminal deemed to provide a new and more accessible gateway for the hinterland customers in Lamongan, Tuban and up to central Java.

"Catering to an already thriving industry with this new investment, EJMT is well-positioned to support the growing economy of East Java and Indonesia," Chan said.

David Lim, PT Eastern Logistics chief executive officer and the operator of Lamongan Shorebase, said, "The development of EJMT will provide domestic and international access to our existing and new customers, who will also benefit from the reduced overall supply chain costs. The heavy-lift deck will allow us to support the upcoming project developments in Eastern Indonesia, as well as receive decommissioned platforms."

ICTSI, Gerard Langes, head of Business Development–APAC region and the Philippines, said the world's largest independent terminal operator "is pleased to continue its growth by adding EJMT to its global portfolio."

"By building positive relationships with stakeholders, ICTSI is contributing to the sustainable economic and social well-being of the local community," Langes said.