PT Mayhill International Trading and Service will invest US$500 million in the Sabang port and free trade area on Weh Island to build a transit terminal, to speed up the development of the area.
The project was laid down in a memorandum of understanding signed on Tuesday by the head of the Sabang Zone Development Agency, Saiful Ahmad, and Mayhill director Topek Martopo Sumarinda, in the presence of State Minister of the Development of Disadvantaged Regions Muhammad Lukman Edy and Aceh deputy governor Muhammad Nazar.
Mr Lukman Edy said that the cooperation is expected to boost the development of the Sabang area, Indonesia's Antara news agency said in a report.
Mr Lukman Edy said that to take over Singapore's role, the Sabang international cargo port must be able to process crude oil into fuel oil and its derivatives. 'The cooperation will not only improve the economy of the Sabang population, it would also improve the economy of Aceh province as a whole,' he said.
Mr Nazar said the cooperation would hopefully also make up for the lack of development of Sabang caused by several government regulations contradictory to the Sabang Freeport Law No 37 of 2000.
The project was laid down in a memorandum of understanding signed on Tuesday by the head of the Sabang Zone Development Agency, Saiful Ahmad, and Mayhill director Topek Martopo Sumarinda, in the presence of State Minister of the Development of Disadvantaged Regions Muhammad Lukman Edy and Aceh deputy governor Muhammad Nazar.
Mr Lukman Edy said that the cooperation is expected to boost the development of the Sabang area, Indonesia's Antara news agency said in a report.
Mr Lukman Edy said that to take over Singapore's role, the Sabang international cargo port must be able to process crude oil into fuel oil and its derivatives. 'The cooperation will not only improve the economy of the Sabang population, it would also improve the economy of Aceh province as a whole,' he said.
Mr Nazar said the cooperation would hopefully also make up for the lack of development of Sabang caused by several government regulations contradictory to the Sabang Freeport Law No 37 of 2000.