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Tarakan is a city on an island of the same name in East Kalimantan , and the largest city of the province of North Kalimantan. Tarakan is km south of Nunukan , and also serves as a visa-free border-crossing between Indonesia and the Malaysia town of Tawau in Sabah.
Although Tarakan is the only independent city kota of the province of North Kalimantan, and the most populous city by far population about , , it is not the capital. The provincial capital is Tanjung Selor. A less mind numbing way of travel to Tarakan is to take the ferry service which plies a few times a day between Nunukan and Tawau, and a twice daily flight that goes between Nunukan and Tarakan.
To get into Tawau this way, take the 11AM ferry which usually waits to depart until it's full, which can mean it leaves at noon from Tawau to Nunukan.
The Labuan Express is the best option because it is just plain cleaner than the other ferries. The journey will take 45 minutes to an hour and it costs 40 Ringgit. After getting through Indonesian immigration, catch a minibus RP 20, to charter the whole thing, and be prepared to bargain to the airport which is a mere 15 minutes drive.
Its RP , for that ticket which you can purchase at the airport. Oh, and there's some other tax of RP 8, too. The journey takes less than 15 minutes. Of course you can travel to Tarakan from the Indonesian side mainly going through the oil city of Balikpapan. From Balikpapan there are three to four flights daily except Sundays. By the way, if you do choose to go through Balikpapan airport, try the "Nasi Sop Buntut" at the Blue Sky restaurant on the second floor of the airport.