PGE, PDPA to sign JV agreement this month
Thursday, July 27 2017 - 05:54 AM WIB
PT Pertamina Geothermal Energy (PGE), a subsidiary of state-owned oil and gas company PT Pertamina, and Perusahaan Daerah Pembangunan Aceh (PDPA), a company owned by the Aceh provincial administration, plan to sign this month a joint venture deal to develop the Seulawah Agam geothermal working area in the province.
?The final draft (of the proposed JV company) is complete. Now we are looking for the right time for the signing, which we are targeting this month,? President Director of PGE, Irfan Zainudin told Petromindo.com on Thursday.
Irfan said earlier PGE will have a 75 percent interest in the JV company, called PT Geothermal Energy Seulawah (GES), while the remaining 25 percent to be held by PDPA.
PGE and PDPA signed an initial agreement last year to jointly develop geothermal resources in the Seulawah Agam working area, which has potentials to generate up to 165 MW of power. The government has assigned PGE to develop the working area.
This portal reported previously that in the first phase, the joint venture will carry out survey and exploration to develop the first power generation unit with a capacity of 55 MW and investment commitment of US$40 million.
The Seulawah Agam working area is located in Aceh Besar regency, spanning across several sub-districts, namely Seulimeum, Krueng Raya and Indrapuri. The project?s location is 50km southeast of Banda Aceh, the province?s capital.
Editing by Reiner Simanjuntak