ICTSI unit to halt Makassar operations

PORT operator International Container Terminal Services Inc. (ICTSI)) has ended its container-handling cooperation agreement (CA) contract in Makassar Port Container Terminal, South Sulawesi, Indonesia.

The CA was originally due to extended until Jan. 31, 2023. expire on Sept. 30, 2013 but was The agreement covered “the procurement, installation and operation of container loading and unloading equipment” at the said Indonesian port.

“PT Makassar Terminal Services (MTS), a part of ICTSI’s subsidiary, ICTSI Far East Pte. Ltd. and PT Pelabuhan Indonesia IV (Pelindo IV) have both announced that they mutually agreed not to renew the said CA.

Moreover, MTS will immediately cease operations at the Makassar Container Terminal following the discontinuation,” the company said in a disclosure.

MTS is one of ICTSI’s three operating subsidiaries in Indonesia.

PT Pelabuhan Indonesia I, PT Pelabuhan Indonesia II, PT Pelabuhan Indonesia III and PT Pelabuhan Indonesia IV are nonlisted state-owned companies whose shares are 100-percent owned by the Ministry of SOEs as shareholders representing the Republic of Indonesia.

The Makassar Container Terminal is one of the business segments of PT. Pelindo, which handles container service activities in line with the increasing development of containerization through the current and future Makassar Port.

On May 19, 2006, ICTSI, through its subsidiary, ICTSI Far East Pte. Ltd., acquired PT MTS, which has a CA with Pelindo IV for the procurement, installation and operation of container loading and unloading equipment at the Makassar Port Container Terminal, South Sulawesi, Indonesia.