Germany’s Ferrostaal Group plans to develop a gas-based petrochemical plant worth at least $1 billion in Bintuni Bay, Papua, Indonesia, in cooperation with a state-owned firm, a report said.

The plant is expected to produce 1.3 million tonnes of methanol per year, among other products, said Indonesia Finance Today newspaper, quoting Ferrostaal CEO Klaus Lesker.

Ferrostaal is also currently working with state-owned miner Aneka Tambang (Antam) to build a ferronickel plant in Java.