Bumi Resources plans S. Sumatra mine mouth power plant
Wednesday, April 11 2007 - 05:00 AM WIB
Vice President Director Kaz Tanaka told reporters that construction for the power plant would commence in 2010 with operations seen to start in 2013. Investment to build the power plant is estimated at US$1.2 billion, he said.
The power plant would be located in the company?s subsidiary PT.Pendopo Energi Batubara mining concession where it had hundreds of millions of tonnes of low-rank coal reserves that would be used to fuel the power plant.
Tanaka said Bumi had held talks with state electricity firm PLN over the sale of the electricity that would be produced and he said that the power might be exported to Java via undersea transmission cable, which feasibility study is expected to be completed within months.
Bumi acquired PT Pendopo Energi Batubara, a company that holds a 34,430-hectare coal mining concession in Muara Enim regency, South Sumatra, last year for about US$3 million. Bumi CEO Ari S. Hudaya last year said the company planned to build coal-liquefaction project in Pendopo. (bernard)