CLOUGH Group 82 per cent owned Indonesian subsidiary PT Petrosea Tbk has negotiated a $28 million extension to December on its long-term coal overburden stripping contract in east Kalimantan.
The contract for the Indonesian owned company PT Gunungbayan Pratamacoal was first awarded to Petrosea in November 1999.
At the time it was one of Clough’s biggest contracts in its then 34 years of operation in the country.
When successfully completed last month, the contract had generated revenues of $172 million for Petrosea.
The eight month GBP contract extension follows last month’s announcement that a joint venture of Clough’s Offshore Division and Petrosea had been awarded a $93 million engineering, procurement and construction contract by operator BP West Java for the APN gas field development in the West Java Sea.
Clough managing director David Singleton said opportunities were emerging in Indonesia that met the company’s new guidelines for acceptable contract margins, return on capital and levels of risk.