Pertamina, Chevron, Star Energy to jointly develop geothermal projects

Jakarta (ANTARA News - PT Pertamina Geothermal Energy (PGE) has signed principles of agreement (PoA) with Chevron Geothermal Indonesia Ltd and Star Energy Geothermal Pte Ltd to develop six geothermal power plants in the country.

PGE spokesman Hendi Suhendi said on Wednesday that the agreement was signed in Jakarta on Tuesday.

"With the PoA, all sides have agreed to cooperate to develop a financial model and work schedule for the geothermal projects," he added.

He said four of the six projects -- Hululai, Tambang Sawah, Sungai Penuh and Semurup -- will be developed in cooperation with Chevron.

Star Energy will develop units 1, 2 and 3 of the Karaha Bodas geothermal power plant, he added.

"Chevron and Star Energy were earlier PGEs joint operation contract partners," he noted.

Star Energy was PGEs joint operation partner for the Wayang Windu project, while Chevron was the partner for the Gunung Salak and Darajat projects, Hendi said.

The Hululais project in Bengkulu, the Sungai Penuh project in Jambi and the Karaha Bodas project in West Java are part of the second phase of the fast track program (FTP-2), he pointed out.

According to Energy and Mineral Resources Ministry Regulation No. 21/2013, the Hululais project will have a capacity of 2x55 MW, while the Sungai Penuh project will have a capacity of 2x55 MW. Unit 1 of the Karaha Bodas project will have a capacity of 30 MW, while units 2 and 3 will have a capacity of 55 MW each.

The FTP-2 projects cover 76 units with a combined capacity of 17,918 MW. Seventeen units with a capacity of 5,749 MW will be developed by state electricity company PLN, while 59 units with a capacity of 12,169 MW will be developed by independent power producers (IPP).

Unit 1 of the Patuha geothermal power plant, with a capacity of 55 MW in West Java, is expected to become the first FTP-2 project to start operations (*)