Berau Coal plans to build power plant

IDX-listed coal mining firm PT Berau Coal Energy Tbk plans to build power plants as part of diversification strategy, reports said on Thursday.

Berau Coal President Director Amir Sambodo was quoted as saying that the company is currently conducting a study to develop a 2x100 MW coal-fired power plant, possibly near its mining areas in East Kalimantan.

With such capacity, the company will need to invest between US$170-180 million, he said.

Amir said that the company was also considering the build power plants in other areas particularly in South Sumatra.

He said that the electricity to be produced from the planned power plants will be sold to state electricity firm PLN and for internal use as part of fuel efficiency program.

Berau, however, has yet to decide on when to start construction of the power plant project. ?This year, we?ll try to make the study first, while the implementation will depend on the situation and condition of the firm,? Amir said as quoted by Kontan daily. (*)