Megapower plans mini hydro power plant project
Thursday, July 6 2017 - 01:32 AM WIB
IDX-listed power company PT Megapower Makmur Tbk said it plans to develop a 5 MW mini hydro power plant in South Sulawesi next year.
?It will be located in South Sulawesi. Feasibility study is currently in progress. It?s possible for the project to start running next year,? said Megapower President Director Kang Jimmi to Petromindo.com on Wednesday following a ceremony to mark the listing of the company?s shares on the Indonesia Stock Exchange.
Megapower recently completed an initial public offering, selling 30 percent share to the public, and raising around Rp 49 billion in proceeds, part of which to be used to repay debts to its parent Bina Puri Holdings, a Malaysian property company.
Kang said that about half of the IPO proceeds will be used to finance the mini hydro power plant project.
Meanwhile, Kang was also quoted by reports Thursday as saying that the company will develop two new hydro power plant projects within the next five years. He did not provide details.
Megapower, set up in 2007, currently operates a mini hydro power plant with capacity of 4.2 MW in Bantaeng, South Sulawesi, with electricity output sold to PLN under a 15-year power purchase agreement signed in June 2015. Reports said that the company also operates eight diesel-fired power plants.
Editing by Reiner Simanjuntak