Investment Opportunities in

WEST SUMATERA

Jakarta - 2013

Daftar Isi

1.Profile of the Province

2.Existing Infrastructures

3.Potential Investments

4.IPKC as Partner

The Province of West Sumatera

1. LOCATED IN THE WESTERN COAST OF THE SUMATRA ISLAND WITH

AN AREA OF 42.229,64 Km2

2. CONSISTS OF 12 REGENCIES AND 7 MUNICIPALITIES.

3. IS INHABITED BY 4.9 Million PEOPLE (2012)

4. IS TOPOGRAPHICALLY HILLY with MOUNTAINS, VALLEYS, RIVERS,

WATERFALLS, AND narrow BEACHES.

5. More than 45 % OF THE POPULATION WORK IN THE AGRICULTURE

SECTOR.

6. HAS WORK FORCE ABOUT 1,9 MILLION

Existing Infrastructures

Road Network

.

Air Transportation• Located 23km north

west of Padang. • it serves both

domestic and international flights.

• The airport is connected to the city of Padang by a rail link.

• Air Asia operate a service to Kuala Lumpur while domestic airlines fly to Jakarta, Batam, Bandung, Medan and Subang

Sea Transportation

Power Plant

Electricity• Recent 2012 capacity: 453.8 MW • Under construction: South Solok Regency Geothermal Power Plant, 220 MW, will be ready 2014 and another 200 MW will be bid soon. • Under construction: Micro Hydro Prower Plant in 3 Regencies, 30 MW

Potential Investments

Proposed Investments

AGRO INDUSTRY

TOURISM

ENERGY

Cocoa• West Sumatra has more than 83,000 ha of cocoa plantation • Plan to establish up to another 110,000 ha within the next 5

years • Cocoa bean Production 2011: 42,200 ton

Investment Opportunities• • European and American consume 10.3 kg

chocholate/person/year • • Indonesian consume less than 0.6 kg/person/year

Tuna FishingWest Sumatera Barat had been selected to be the Fishery Central for west Indonesia. Based on the Tuna Fishing zone, West Sumatera is located at green zone where there is a big opportunity for Tuna fishing. Apart from that, West Sumatera is strategically located as a land base and Tuna export activity from Indian Ocean.

Fish CanningFeasibility Study on Fish Canning at West Sumatera Barat was conducted in 2011 and according to that feasibility study the fish canning mill construction is feasible to be implemented. Total investment required for fish canning mill is around Rp. 41,9 billion with payback period 9,68 ( Return on investment at 9,68 tahun).

West Pasaman District is the appropriate location for fish canning mill and the best fish type for fish canning sardines and mackerel is siengseng fishes, sardines, laying, kembung, lemuru, embang, japuh and cakalang. Total fishes production at West Pasaman District in 2010 is 2.584 ton.

ENERGY SECTOR

Geothermal energy

Hydro power

Oil and Gas

Geo Thermal• West Sumatera Province is located near by active volcano

causing some potentiality of usable geothermal for renewable energy source around the area.

• Geothermal deposit prediction at West Sumatera, based on Energy Department Data and Mineral Resources, approximately reach at 858 MWe (Mega Watt equivalent), whereas the speculative resources is around 798 MWe.

INFRASTRUCTURE SECTOR

Railway

Highway

Tourism