Construction progress of Tabalong power plant project reaches 67%

By Nova Farida

Petromindo|Lucky

Construction progress of a 2x100 MW coal-fired power plant project in Tabalong Regency, South Kalimantan Province, being developed by independent power producer PT Tanjung Power Indonesia (TPI) has reached around 67 percent.

?As per the second quarter, the construction progress has reached 67 percent,? said David Tendian, Finance Director of IDX-listed coal giant PT Adaro Energy Tbk, the parent of TPI, on Tuesday.

The US$545 million power plant project is targeted to be completed in 2019.

Adaro Energy through subsidiary PT Adaro Power owns 65 percent of TPI, while the remaining 35 percent is owned by PT East-West Power Indonesia, a subsidiary of Korea East-West Power Co Ltd. TPI on January 23 reached financing close with six lenders, obtaining a total of US$422 million loan facilities for the estimated $545 million power plant project. A 25-year power purchase agreement was signed by TPI and state-owned electricity firm PT PLN in October 2014.

Editing by Reiner Simanjuntak