Pelindo II will invest $721 million for developing Kalibaru Port and Sorong Port

State-owned port operator Pelindo II will invest $721 million to develop Kalibaru port in North Jakarta and Sorong port in the West Papua region. The ports are part of the Nusantara Pendulum – the country’s main sea corridor connecting six ports that include Belawan in North Sumatra and Makassar in South Sulawesi. Sorong port is likely to be completed by 2015 and is expected to lower the freight cost on the Tanjung Priok port – Sorong port route from $2,000 per twenty-foot equivalent unit (TEU) to $375 per TEU. Pelindo II will build Sorong port in partnership with PT Pelindo IV and five other shipping firms – PT Samudera Indonesia, PT Meratus Line, PT Salam Pacific Indonesia Line, PT TantoIntim Line, and PT Tempuran Mas. Kalibaru port that has been rebranded as the New Priok will have an annual processing capacity of 13 million TEUs. The three container terminals at the port are scheduled for completion in 2015.