Korean firms team up for hydro project in Central Kalimantan

Korea Midland Power (KOMIPO) announced on Tuesday that it along with Daelim and Lotte Engineering & Construction have agreed to work together on the 280MW Muara Juloi hydropower project in Indonesia and the 640MW Azad Pattan hydropower project in Pakistan.

The three Korean companies signed a memorandum of understanding to jointly undertake the project in May 2014.

According to the agreement, KOMIPO will have overall responsibility for overseas projects and will take charge of power plant operations following completion. Daelim's Civil Engineering Business Division and Lotte Engineering & Construction will be tasked with the design and construction of power plants.

The US$400 million Muara Juloi project in Central Kalimantan is being developed by KOMIPO following an agreement with the Indonesian government in April 2013. The project is expected to require a four-year construction period. The project is developed under a Public Private Partnership (PPP) program.

The Azad Pattan project in Pakistan is currently undergoing regulatory review and could enter operation around 2020.

Editing by Johannes Simbolon