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Adani Enterprises Ltd's Adani $1.7 Billion Indonesian Rail Project Collapses-DJ

Thursday, 4 Jul 2013 11:17am EDT 

Dow Jones reported that Adani Enterprises Ltd has pulled out of a $1.65 billion Indonesian railway project with state controlled coal miner PT Bukit Asam after the Indian conglomerate was confronted by rising costs and permit issues, the chief executive of Bukit Asam said. Bukit Asam signed an agreement with PT Adani Global, a unit of Adani Enterprises Ltd, and the provincial government of South Sumatra to jointly construct 250-kilometers long railway from Bukit Asam mine in Tanjung Enim to Tanjung Api-Api, a port on the Indonesian island of Sumatra. Once completed, the railway would have been able to transport 35 million tons of coal each year.