PP bags $59m contract to build S. Sumatra gas-fired power plant

Indonesia-listed construction firm PTPT Pembangunan Perumahan Tbk (PP) has signed US$59 million contract to build Talang Duku gas-fired in Musi regency, South Sumatra with state-owned electricity firm PT Perusahaan Listrik Negara (PLN) under build, own, operate, transfer (BOOT) scheme.

PP will sell the electricity to PLN with price of Rp470 (1US$ = Rp 8,657) per kwh, PP?s president director Musyanif said on Wednesday.

PP will operate and maintenance the power plant for 7 years, starting the completion of the project, which is expected to be completed in September this year. ?After 7 years, the power plant will be given to PLN,? he said.

For this project, PP has formed joint venture firm with PT. Bangun Energy Resources (BER), PT Navigat Energy, SCN-Lavalin and General Electric, which will supply turbine. The JV firm called PT Muba Daya Pratama. (romel)