PGE to operate three geothermal power plants in 2014

PT Pertamina Geothermal (PGE), a subsidiary of state oil and gas company Pertamina, is currently building three geothermal power plants in West Java and Lampung to further add power supply in the two provinces, Kontan reported on Monday.

PGE?s Corporate Secretary Adiatma Sardjito said in Jakarta last week that the three power plant projects are now in the process of engineering, procurement and construction. He expected the three power plants would be able to begin commercial operation in 2014.

The three geothermal power plants include PLTP Ulubelu Unit 3 in Lampung with capacity of 55 megawatt (MW), PLTP Kamojang Unit 5 and PLTP Karaha Bodas, both in West Java, with capacity of 30 MW each.

The electricity from the three power plants would be sold to state electricity company PLN under a long-term contract at price of about 9.7 US cent, Adiatma said, adding that the construction of the three power plants would cost about US$402.5 million or about Rp 3.8 trillion, on the assumption that every megawatt would require investment of about $3.5 million.

PGE plans also to drill 20 geothermal wells next year to support the operation of the geothermal power plants. The drilling works would be carried out in Lahendong, Hululais and several other geothermal fields.

Adiatma said that the company had drilled at least 19 geothermal wells this year. (*)