Nusantara Energy to invest US$1.6b in E. Java

PT Nusantara Energy Plant Indonesia plans to develop a power plant, LNG floating storage and regasification unit, and a mini fuel refinery with combined investment of about US$1.6 billion, Kontan reported on Wednesday.

The paper quoted company President Director Junaidi Elvis as saying that three projects will be located at the planned Kampe Industrial Estate in Banyuwangi, East Java. He added that the company will take about 50-ha of the total 2,441-ha industrial estate.

Junaidi said that Nusantara plans to develop a 1,000 MW power plant in the estate, although this has yet to be finalized.

Regarding the planned mini fuel refinery, it would have a capacity of 3,000 barrel per day, producing motor gasoline and jet fuel. The company will import the crude raw material from Singapore-based Vitol Asia Pte Ltd.

Junaidi added that the company has requested for a 10-year tax holiday facility from the Investment Coordinating Board to help accelerate the development of the projects. (*)