PLN signs $262m loan deal for Java power plant development
Wednesday, December 3 2008 - 12:41 PM WIB
State electricity firm PLN on Wednesday signed a US$262 syndicated loan agreement with China Development Bank (CDB) and Barclays Bank to finance the Rembang 2x315 MW coal-fired power plant project in Central Java.
PLN CEO Fahmi Mochtar signed the long-term loan deal in Beijing.
The loan?s tenure is 12 years with 2 years grace period with interest tied to LIBOR.
The loan will finance 85 percent of US Dollar requirement of the project and disbursement is expected to start this month, the PLN?s release said.
Bank of China acts as Facility Agent for the loan.
The power plant is expected to come on stream in September 2010.
PLN said with the loan deal, three of the company?s fast track coal-fired power plants in Java; Labuan 2x315 MW, Indramayu 3x330 MW, and Rembang 2x315 MW, have been fully financed. (bernard)