This extract is reproduced with permission:
Our travels have brought us to Balikpapan in East Kalimantan. Kalimantan is the Indonesian part of the island of Borneo, the third largest island in the world. It has a total area of over 139,000 square kilometres with a population of about 3 million, making it the second largest Indonesian province. The economy of East Kalimantan heavily depends on natural resources such as oilfield exploration, natural gas, as well as coal and gold mining and as a result, East Kalimantan has one of the fastest growing economies in Indonesia.
With exports of oil, gas and coal steadily increasing, the province was responsible for a major portion of the country’s export output with a value of US$37.97 billion. As of October 2012, its export output value stood at $27.71 billion. In 2011, it had the highest gross regional domestic product (GRDP) per capita in the country, standing at Rp105.85 million per year.
More specifically, Balikpapan is a seaport city on the east coast of East Kalimantan. Shipping from the Semayang and Kariangau harbours and air travel from the Sultan Aji Muhamad Sulaiman Airport are the main modes of transportation available in the city. It is a resource-rich region known for its timber, mining, and petroleum export products. Recently the economy of Balikpapan has shifted [its] focus to mining as well.
Read more about SMU’s Industry Study Mission Indonesia 2013 visits to PT Bayan Resources, Balikpapan Coal Terminal (BCL) and Kalimantan Floating Transfer Station (KFT).
Credit: International Trading Institute@SMU