Panin provides Rp 627.5 billion for Embalut power plant

PT Bank Panin Tbk has agreed to provide loans worth Rp 627.5 billion to PT Cahaya Fajar Kaltim, the operator of PLTU Embalut coal fired power plant, the bank?s executive has said, as quoted by Bisnis Indonesia.

Director for corporation of Bank Panin . Iswanto Tjitriadi, said in Jakarta on Wednesday that the new loans which would comprise Rp 392.5 billion in local currency and US$25 million in foreign currency, would be used to finance the expansion of the power plant.

?The credit will be the second from Bank Panin,? Iswanto said, adding that last year Bank Panin extended Rp 410 billion for the construction of the Embalut power plant which has a capacity of 2 x 25 MW.

Cahaya Fajar would build new power plant with a capacity of 1 x 60 MW in Embalut village, Tenggarong regency, East Kalimantan as part of the expansion plan. The new plant is expected to begin commercial operation in the first quarter of 2014. (*)