ABM unit signs bond agreement with IIF to fund power plant projects
Tuesday, January 5 2016 - 02:55 AM WIB
IDX-listed integrated energy company PT ABM Investama Tbk said that its subsidiary IDX-listed power firm PT Sumberdaya Sewatama Tbk has signed a mandatory convertible bond issuance agreement worth Rp 300 billion with PT Indonesia Infrastructure Finance (IIF), a financial institution under the Ministry of Finance specializes in funding infrastructure projects.
?The proceeds from this Agreement will be used to fund the construction of power plant projects of Sewatama based on new and renewable energy,? AMB said in a statement Monday, without providing further details.
Sumberdaya said in August of 2015 that it was realizing several power plant projects using renewable energies in various parts of the country including biogas power plant projects in Kalimantan using oil palm waste materials as feedstock.
The firm, through various subsidiaries, has also started developing a number of mini hydropower plants with a combined capacity of 50 MW in South Sulawesi, including one with a capacity of 5.2 MW in Gowa and another one with a capacity of 10 MW in Ma?dong in Toraja Utara. The Ma?dong power plant was scheduled to come onstream in 2016.
Together with American firm Caterpillar Inc., the firm is also doing a study on the application of hybrid technology on diesel generators. The hybrid technology is able to combine diesel or gas power generators with solar power, thus making the operation of the generators more efficient.
Editing by Reiner Simanjuntak