Medco, Mitsui competing for Chevron?s geothermal assets
Monday, November 21 2016 - 12:59 AM WIB
PT Medco Energi Internasional and Japan?s Mistui are seen as the two leading companies in competing for Chevron?s geothermal assets in Indonesia.
A source told Petromindo.com that Medco offered the highest price for the geothermal assets in the current bidding round, followed by Mitsui. ?Decision (who will win the tender) will be decided in December, waiting for the final offer from Medco and Mitsui. The two are competing tightly,? the source said.
Previously, Director of Geothermal at the Ministry of Energy and Mineral Resources Yunus Saefulhak said that six companies have passed the next bidding round for the Chevron geothermal assets in Indonesia. The six firms were Star Energy, PT Pertamina, PT. PLN, PT Medco Energi Internasional, Marubeni and Mitsui.
Elsewhere, the source said that tender for the Chevron geothermal assets were opened at a price of Rp 5 trillion. But the source said that the market is likely to respond at a price of between Rp 2 trillion and Rp 2.5 trillion.
Chevron is divesting its geothermal assets in Indonesia and the Philippines. In Indonesia, according to the firm?s website, Chevron operates the Darajat and Salak working areas in West Java province, which have a combined operating capacity of 647 MW. Chevron operates the geothermal fields through two subsidiaries, namely Chevron Geothermal Indonesia, Ltd., which manages the Darajat project and Chevron Geothermal Salak, Ltd., operates the Salak project.
Editing by Reiner Simanjuntak