Indonesian consortium to invest N155bn in mining, others

The Federal Government on Monday signed a Memorandum of Understanding with the Barkie Group of Indonesia for the investment of N155bn in critical sectors of the Nigerian economy.The amount will be invested in mining, rubber and oil plantations in Ogun and Akwa Ibom states over the next five years.The Minister of Trade and Investment, Mr. Olusegun Aganga, signed on behalf of the Federal Government, while the leader of Bakrie Group, Mr. Indra Bakrie, signed on behalf of the organisation.Currently, Indonesia has overtaken Malaysia as the worlds largest producer of palm oil. It is also the second largest producer of natural rubber in the world with total production of 2.9 million tonnes in 2010.The average annual growth of rubber plantations in Indonesia currently stands at three per cent, which is higher than the global annual growth rate of two per cent.Barkie Groups proposed investment, which will be managed by its investment vehicle in the country, Bakrie Delano Africa Nigeria Limited, will focus on maximising benefits from the mining sector.It will also explore the untapped investment potential in agriculture and agri-business as well as expanding investments in six states of the federation within the next five years.Aganga said the deal was a product of the collaboration and high level consultations between Bakrie Group, the ministries of Trade and Investment, Agriculture and Rural Development and Mining and Steel Development, as well as some state governors.He noted that the deal had the potential to create jobs and generate wealth for Nigeria, adding that the Federal Government was committed to creating a conducive environment for attracting Foreign Direct Investments into the country.He said, The group will be investing $1bn in mining, rubber and oil palm plantation in Ogun and Akwa Ibom states within the next five years, but with prospect of expanding their investments in six other states in Nigeria.The Bakrie Group is well known globally, especially in the areas of coal mining and rubber plantation. They are not only in Indonesia; they also have investments in other countries of the world, including Africa.
Click here to read full news..