Engie says RI geothermal project to start construction this year
Saturday, January 28 2017 - 05:07 AM WIB
Europe energy giant Engie said its subsidiary Storengy plans to start construction this year of a geothermal power plant project in Solok Selatan Regency, West Sumatra Province.
Engie said in a statement Friday that Storengy has all the drilling and underground expertise to manage the project.
Isabelle Kocher, Engie Chief Executive Officer, said: ?I am proud of our teams who succeeded in confirming our expertise in such projects, from the underground exploration to the construction and operation of geothermal power plants. Those technologies are key for countries like Indonesia to provide their population with efficient low-carbon power generation sources. Our partnership in the Muara Laboh geothermal project is fully in line with Engie?s strategy to be a leader of the energy transition in the world, notably focusing on competitive renewable energies.?
Engie is part of the PT Supreme Energy Muara Laboh consortium with Japanese trading and investment company Sumitomo Corporation and Indonesian geothermal power developer, PT Supreme Energy which plans to develop the geothermal power plant project with a total capacity of 2x110 MW. The first phase of the project will have a capacity of 80 MW.
A US$440 million financing agreement has been signed by PT Supreme Energy Muara Laboh consortium with the Japan Bank for International Cooperation, the Asian Development Bank and a set of commercial banks under a guarantee from Nippon Export and Investment Insurance, to support clean energy development in Indonesia.
Engie has been present in Indonesia for over 60 years. Muara Laboh is the first renewable project of the proup in the country.
Editing by Reiner Simanjuntak