Emaar denies $600m resort project pull-out

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Emaar Properties has said it has shown "total commitment" to plans to build a $600m resort in Indonesia and has not pulled out of the project.

The Dubai property giant said it had “responded on time and with total commitment to the proposals of the Bali Tourism Development Corporation (BTDC) for the Lombok project".

Emaar was responding to comments from the Indonesian government, published over the weekend, which said officials were to retender the project after Emaar had pulled out of it.

In a statement sent to Arabian Business this week, the company added: “Emaar also provided recommendations on how it intends to proceed with the development of the project.”

It added: "“Emaar has strong financial fundamentals and will undertake all strategic projects across its key markets."

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The spokesperson did not confirm the current status of the project.

On Saturday, an Indonesian official was quoted as saying potential investors from Abu Dhabi, Qatar, Ras al Khaimah and India could be ready to replace Emaar to develop the island project.

Investment Coordinating Board (BKPM) chairman Gita Wirjawan told the Jakarta Post that at least four other foreign investors had expressed interest in taking over the resort project.

In March, Emaar said it was still planning to proceed with the island resort project in Indonesia and was awaiting a response from an expression of interest it has submitted to the Bali tourism authority.

It added that, “Indonesia represents a target growth country for the company” and that it has “provided recommendations on how it intends to proceed with the development of the project and await response from Bali Tourism Development Corporation (BTDC) and the Government of Indonesia.”

The $600m development was launched by the former Indonesian Vice President Jusuf Kalla in May 2007 and is planned to be a 1,200-hectare resort located at the Kuta and Tanjung A’an beaches.