Indonesia, China sign Rp 35t energy projects

China and Indonesia sign on Monday agreements on eight projects worth Rp 35 trillion (US$=10,900) to develop oil, gas, electricity and coal in Indonesia.

The signing of the agreements was witnessed by Vice President Jusuf Kalla and China's Deputy Prime Minister Li Keqiang on the sidelines of the third Indonesia-China Energy Forum/ICEF in Jakarta.

Minister of Energy and Mineral Resources Purnomo Yusgiantoro said the projects were crucial in light of the current fluctuation of crude oil price and the global economic crunch. The projects will absorb at least 32,000 laborers.

The projects include the extension project of Madura Strait block worth $624 million signed by oil and gas upstream regulator BPMIGAS along with CNOOC and Husky Madura Ltd; a $1.380 billion loan agreement for construction of Pelabuhan Ratu, Pacitan and Cilacap power plants signed by state owned electricity company PT Persuahaan Listrik Negara (PLN) and Bank Exim of China.

In addition, state owned coal miner PT Tambang Batubara Bukit Asam (PTBA) and China Huadian Corporation, Muara Enim local government and PT Truba Alam Manunggal Engineering signed a $14.4 million investment in coal mining in Bangko Tengah.(Bernard)

No	Company Name	Project name	Location	Form of Agreement	Investment Value (US$ million)
OIL & GAS
1	BPMIGAS and CNOOC and HUSKY Madura Ltd.	Madura Strait PSC	East Java	MoU	642
2	ZTE Agribusiness Co.Ltd,. PT Kurnia Selaras and China Development Bank	Biodiesel plant & Raw material	Jambi and S. Sumatra	Corporation Agreement	255
POWER PLANT
1	PLN and The Exim Bank of China	Buyer's Credit for Pelabuhan Ratu coal-fired power plant	West Java	Framework Agreement	481.94
2	PLN and The Exim Bank of China	Buyer's credit for the 2x315 MW Pacitan coal-fired power plant project	East Java	Framework agreement	293.22
3	PLN and Chinese firm National Technical Import and Export Corporation (CNTIC), PT Cahaya Mulia Energi Konstruksi and PT Bajragraha Sentranusa	EPC contractor for Adipala coal power plant 1x660 MW in Cilacap	Central Java	Framework agreement	605.29 and Rp 2.44 Trillion
4	PLN and Shenhua Energy	Simpang Belimbing coal-fired power plant 2x113.5 MW	South Sumatra	PPA	330
COAL
1	PTBA,China Huadian Corp., Regency Government of Muara Enim and PT Truba Alam Manunggal Engineering Tbk.	The Coal Mining Development in Bangko Tengah	South Sumatra	JV Agreement	14.4
2	PT Bumi Dharma Kencana (PT David Bumi Perkasa No. 545/K.205/2008) and Lark Guangdong Power Resources Inc.	The Coal Mining Development	East Kalimantan	Cooperation agreement	350
Total					2678.63 and Rp 2.44 Trillion
Note: MoU=Memorandum of Understanding; PPA=Power Purchase Agremeent