The name Balikpapan is presumably derived from an overloaded ship, which capsized near Tukung Island.
A Dutch geological map in 1870 contained a small village of that name on Balikpapan Bay. The first drilling rig was erected on Tukung Island, but as it failed to produce, it was moved to the foot of Commodor Hill.
This first producing well given the name Mathilda, after the daughter of a Dutch oil industrialist. The well started producing on February 10, 1897. That small village eventually developed into the present town of Balikpapan. Now East Kalimantan’s leading oil town, and one of the most important in Indonesia, Balikpapan was during World War II the target of assaults by both the Japanese and the Allies. The name Balikpapan is also mentioned in the War Book at West Point, the U.S.A.
Balikpapan is the main gateway to East Kalimantan province. It has grown in importance since the opening of the internasional flight route. Brunei – Balikpapan – Ujungpandang – Kupang – Darwin. This town of about 500,000 is also visited by Pelni passenger ship on the route Surabaya – Ujungpandan – Balikpapan.
Outwardly , Balikpapan presents two different faces. The first is the old Dutch built section of the town. The other is the newer part that has grown as a result of recent development efforts.
The first contains most of the residential neighborhoods of the oil enterprises, such as Pasir Ridge or (American Village), in the hills. It is a self sustained entity, pleasant and provided with all the facilities for modern living including good roads and parks.
Manggar Beach
Manggar Beach is not far to the west of Balikpapan. It is very popular among the local people, who go there to bathe or simply relax.
Tanjung Jumelai is a beach near Penajam village which can be reached by motorboat. The area is beautiful and pleasant.
Tanjung Harapan, at Samboja, 40 kilometers from Balikpapan or 70 from Samarinda, is an attractive beach, six kilometers long, grown with trees and mangrove forests. Recreation facilities are available.