JAKARTA: PT Elnusa Fabrikasi Konstruksi, a subsidiary of integrated oil services company PT Elnusa Tbk., has signed a joint operation agreement with PT Technics Offshore Jaya (TOJ), a subsidiary of Singapore’s listed Technics Oil & Gas Pte Ltd (TOG), in Jakarta on Thursday.
According to the document, the collaboration is aimed at enhancing local production capabilities and addressing the challenges of Indonesia’s growing oil and gas needs.
Production will reportedly start before the end of the year on a 5-to-10-hectare site in Batam owned by Elnusa.
TOJ managing director Foo Soon Fah said that the market for oil equipment was very large and that his company offered the know-how in several areas to enable Indonesia to produce its own oil and gas equipment.
He also told thejakartapost.com that the joint cooperation was an open book cooperation.
TOG executive chairman Eros Djarot noted the huge market for compressor related work, which sits between US$60 million and $70 million per year.
