The port authority has just signed a partnership agreement with the Indonesian Port Corporation Pelindo I in Medan, North Sumatra.

The development of the new deep sea port at Kuala Tanjung will be just across the Malacca Strait from regional container terminal powerhouse Singapore and Malaysia's Tanjung Pelepas.

Rotterdam said it will now carry out a feasibility study for the new port together with Pelindo I, but gave no timeframe.