Adaro teams up with Mitsui, KEPCO for power projects

Indonesia?s major coal producer PT Adaro Energy Tbk (ADRO) will team up with Japanese company Mitsui and South Korean electricity company Korea Electric Power Corporation (KEPCO) to take part in the pre-qualification stage of the tender for the construction and operation of PLTU Sumsel 9 and 10 coal-fired power plants in South Sumatra, Bisnis Indonesia reported on Monday.

Adaro?s president director Garibaldi Thohir said in Jakarta last week that the three companies would establish a consortium to bid for the tender of the two power plants. ?Adaro will have 30 percent stake in the consortium,? he said, adding that the two partners in the consortium could also have 30 percent stake, respectively.

In November, 2012, PLN opened the pre-qualification stage for the tender for the construction of two independent power producers PLTU Sumsel 9 and 10 coal-fired power plants, which would have capacity of 2 x 600 MW and 1,600 MW, respectively.

Garibaldi said that the investment for the two large power plants would reach up to US$3 billion. In addition to Adaro, state coal miner PT Bukit Asam and its partners would also take part in the pre-qualification for the two power plants.

Previously, PT Bukit Asam and its partners won the tender for the construction and operation of PLTU Sumsel 8, which has capacity of 2 x 620 MW, and which would absorb investment of about $1.6 billion.

Adaro has also won several IPP projects including PLTU Kalsel with capacuty of 2 x 100 MW, PLTU Jawa Tengah with capacity of 2x1,000 MW. Adaro has also built a coal-fired power plant with capacity of 2x30 MW for its own use. (*)