Morning Briefs – Jan. 5

JAKARTA (TheInsiderStories) – Good morning. Followings are some relevant news that might help your business decisions today:
Indonesia to Extend Biodiesel Subsidy to Mining Sector
Indonesia’s government plans to expand biodiesel subsidies to cover consumption of palm oil-blended fuels by the mining sector this year as part of ambitious plans to develop the energy source, an energy ministry official said on Thursday (04/01). The subsidy for a program known as B20 – referring to a blended fuel with 20 percent biodiesel content – has previously only been available to the power sector and to fuels sold to the public by Pertamina and AKR Corporindo.
President Widodo Receives Capital City Relocation Concept Plan
National Development Planning (Bappenas) Board Head Bambang Brodjoneoro said on Thursday that he had handed over the concept plan for the capital city relocation project to President Joko “Jokowi” Widodo. He estimated the budget for the capital relocation could be more than Rp 1 trillion (US$70 million). As previously reported, President Widodo had assigned Bappenas to carry out an initial study on the relocation project. The President said the capital relocation was needed as Jakarta was overcrowded. The plan, however, has been met with criticism, with oposition saying there are more urgent projects that require government attention.  Bambang said the President had yet to comment on the concept.
 
Sillo Maritime Secures US$ 76M Contract

PT Sillo Maritime Perdana Tbk (SHIP) has signed Letter of Intent (LOI) a tender worth US$ 76.32 million. Sillo signed the LOI through its subsidiary, PT Suasa Benua Sukses with Petrochina International Jabung Ltd to provide Time Charter for Oil/Condensate FSO Service. This contract is expected to boost the company’s income. Based on the company’s financial statement ended on September 30, Sillo Maritime’s revenue noted US$ 30.66 million or increased nearly three times compared to last year’s of US$ 11.74 million.

Ratu Prabu Proposes a Plan to Develop LRT in Greater Jakarta
Listed energy company PT Ratu Prabu Energi Tbk (IDX:ARTI) has submitted its proposal to the Jakarta provincial government to develop 200-km of light rapid transit (LRT) in the Greater Jakarta area with an estimated investment of Rp320 trillion. Jakarta Deputy Governor Sandiaga Uno said the top executives of the group has met him over the plan. Ratu Prabu said it will tie up with foreign investors, including a company from China. Sandiaga Uno welcome the proposal.