Bakrie actively target new contracts

 

JAKARTA. PT Bakrie Construction is targeting for five new contracts on projects in public and private sectors in the second semester of 2016. PT. Bakrie Construction is a fabricating, manufacture, and construction company owned by Bakrie Group.

However, the company refused to specify detail of the projects. “Values of the contracts are relatively high. But we are targeting more prospects”, Chief Executive Officer of PT. Bakrie Construction Mas Wigrantoro told KONTAN (5/9).

During the first semester of 2016, Bakrie have already conducted three construction projects, such as supporting facilities for power plants, several bridges in outside Java, and toll roads.

Currently, Bakrie Construction are undertaking a worth of US$107 million of wellhead platform construction project in Madura Straits Bloc. This project is part of supporting facilities of oil and gas exploration conducted by Husky-CNOOC Madura Ltd.

According to Mas Wigrantoro, recently Bakrie have less opportunities to obtain projects in  public sector, mainly after government decided to cut budgets. “Some projects in public sector are postponed. But it is normal,” Mas Wigrantoro said.

However, Bakrie Construction set a double-digit revenue growth until the end 2016. In order to support Bakri Construction activities, the company allocate IDR75 billion of capital expenditure this year.

Established in 1985, Bakrie Construction was initially named Trans Bakrie as a joint venture company between Bakrie& Brothers and Australian company Transfield, which held 51% of shares of the company. 

Thereafter, Bakrie&Brothers took over the majority stakes in the joint venture company. Following the crisis on construction business crisis during 1997-1992, Transfield removed all of their construction businesses in the world, including Indonesia. (Translator: Muhammad Farid)