Medco interested in acquiring Chevron?s geothermal assets

PT Medco Power Indonesia, a subsidiary of integrated energy company PT Medco Energi Internasional Tbk, said it is interested in acquiring the geothermal assets in Indonesia owned US energy giant Chevron Corp.

?The geothermal assets owned by Chevron are assets which have been proven,? Medco Power President Director Fazil Erwin Alfitri told Kontan on Tuesday.

He added that geothermal is a prospective industry in Indonesia, where the government is pushing for the development renewable energy sector.

As reported by this portal on February 12 quoting a source, Chevron is evaluating possibility to sell its geothermal assets in Indonesia and The Philippines in response to unsolicited expressions of interest.

In Indonesia, Chevron operates the Darajat and Salak fields, West Java, which have a combined operating capacity of 647 megawatts, operated respectively by subsidiaries Chevron Geothermal Indonesia Ltd and Chevron Geothermal Salak Ltd.

Chevron also has a 40 percent interest in the Philippine Geothermal Production Company, Inc., the operator of the Tiwi geothermal facility in Albay Province and the Mak-Ban geothermal facility in Laguna and Batangas provinces. These fields provide steam to the third-party Tiwi and Mak-Ban geothermal power plants in southern Luzon. These plants have a combined generating capacity of 692 megawatts. (*)