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BAM awarded contract for onshore civil works at Tuban 2

World Cement,

ThyssenKrupp Polysius, now known as ThyssenKrupp Resource Technologies following its merger with ThyssenKrupp Fördertechnik, has awarded BAM Indonesia a contract worth €37 million. BAM will provide the onshore civil works for the second Tuban line at Holcim’s plant in Java.

ThyssenKrupp Resource Technologies is the overall contractor for the new line, winning the US$250 million contract from PT Holcim Indonesia Tbk as a follow-up to its work on Tuban 1. Like Tuban 1, Tuban 2 will have a capacity of 1.7 million tpa. It is due to begin operations in 2015.

Tuban 2 comprises similar structures to Tuban 1, which BAM is also working on. This includes around 90 reinforced concrete structures, ranging from 120 m high support buildings for process equipment, to electrical stations, to concrete silos. For the second line, BAM aims to reemploy or recruit workers from the local area as far as is possible.

In January – March 2013, cement sales increased by 8.6% y/y to 13.6 million t in Indonesia, while in March alone sales rose by 3.5% y/y to 4.5 million t, indicating that the pace of growth is being to slow down. The slowdown has been put down to delays in infrastructure projects and government spending. However, the slow down is not expected to last long as several office construction projects and increased foreign investment are in the pipeline.

Edited from various sources by Louise Fordham.

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