PGEO clarifies status of green data center initiative

(23 February 2026)--On behalf of PT Pertamina Geothermal Energy Tbk (PGE) (IDX: PGEO), we would like to express our sincere appreciation for your continued support and cooperation with PGE.

Through this letter, we wish to provide an explanation regarding Petromindo’s article published on 20 February 2026 titled “PGEO eyes Microsoft for green data center project.”

PGE would like to emphasize that the green data center development initiative is still at the preliminary assessment and roadmap development stage as a foundation for future implementation steps. As of now, there has been no investment decision made nor any construction phase that could be categorized as groundbreaking.

In this regard, the use of the term “groundbreaking” in the context of this project does not accurately reflect its current status, which remains at the assessment stage.

As part of its exploratory efforts, PGE has been engaging with various industry players to assess potential collaboration opportunities for developing a low-carbon digital ecosystem powered by geothermal energy. To date, however, no cooperation agreement related to the project has been finalized.

PGE remains committed to upholding the principles of transparency and good corporate governance. Official information will be disclosed to the public should there be any further material developments in accordance with applicable regulations. The company also continues to focus on strengthening its core business in geothermal energy development and utilization as part of its sustainable growth strategy.

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PGEO eyes Microsoft for green data center project

Friday, February 20 2026 - 08:57 AM WIB

IDX-listed geothermal producer PT Pertamina Geothermal Energy Tbk (IDX: PGEO) is preparing to break ground on a geothermal-powered green data center project, as it seeks to expand beyond electricity generation into the fast-growing digital infrastructure sector.

At the end of December 2025, PGEO announced its intention to optimize geothermal energy beyond the power generation sector. One of the strategic industries it is targeting is the green data center segment.

In developing the project, PGEO has partnered with the Indonesia Data Center Provider Organization (IDPRO) and the Faculty of Engineering at Universitas Indonesia (UI) to initiate development studies.

PGEO President Director Ahmad Yani stated that geothermal energy, as a stable baseload power source, has strong potential to supply electricity for domestic data centers.

“Because geothermal is a baseload energy source, it can operate 24 hours a day. We can support their electricity needs,” Ahmad Yani said to Kontan on Wednesday (February 18, 2026).

He noted that PGEO currently sees U.S.-based tech giant Microsoft as a potential partner. Microsoft’s data center projects are currently progressing actively in Indonesia.

Microsoft has officially launched the Indonesia Central Cloud Region (including the JKT09 project in Karawang) as part of its US$1.7 billion (Rp 27 trillion) investment commitment through 2028 to support the AI and cloud ecosystem.

Read also : Three companies compete for PGEO–PLN geothermal projects

 “We have explored discussions with all parties, including IDPRO and potential partner Microsoft. For example, we were recently facilitated by the Ministry of Investment regarding a cooperation plan with Microsoft. Hopefully, this will serve as an entry point,” he explained.

Ahmad Yani also confirmed the potential for a groundbreaking ceremony for the green data center project.

 “We are moving in that direction (groundbreaking). We have conducted preliminary explorations,” he added.

On the environmental side, Ahmad emphasized that using geothermal energy for data centers results in very low or near-zero carbon emissions compared to conventional data centers that rely on fossil fuels. This would help companies achieve net-zero targets and reduce their environmental footprint.

 “We are inviting everyone to collaborate with us. But we must also prove it through pilot projects, such as the ongoing one in Kamojang. We are testing this approach, involving both external and internal partners,” he said.

According to Ahmad, Indonesia’s data center demand is entering a rapid digital transformation phase, driving a surge in data center needs.

Based on data from the Ministry of Communication and Digital, the trend is supported by more than 212 million internet users, with the number of data center facilities projected to continue increasing through 2029–2030.

Meanwhile, projections of industrial electricity consumption show that around 26% of additional energy demand growth is driven by data center expansion. National data center capacity is expected to rise significantly from 520 megawatts (MW) in 2025 to 1.8 gigawatts (GW) by 2030.

“This opens up opportunities for PGEO to be more deeply involved in the low-carbon digital sector,” he concluded.

Editing by Reiner Simanjuntak