Priamanaya builds two more power plants in Sumatra

Following its success to win the tender to build a coal-fired power plant in Rembang, Central Java, PT Priamanaya Djan International plans to build two more power plants in Sumatra with total investment of about US$380 million as part of its expansion, Investor Daily reported Tuesday.

Dieter Machate, the general manager of Priamanaya's power plants, said in Jakarta Monday that the company would build a geothermal power plant (PLTP) with a capacity of 120 megawatt (MW) in Sibayak, North Sumatra, with total investment of about US$150 million.

In addition, the company would also build a mine-mouth power plant with a capacity of 2 x 100 MW in Kebun Agung, South Sumatra. The investment for this power plant will reach about US$230 million.

"The construction of the geothermal Sibayak stage 1 is underway and is expected to start operation in 2008, while that of the mine-mouth in Kebun Agung will begin next year," he said.

As an independent power producer (IPP), Priamanaya will sell the electricity from the power plants to state-owned electricity company Perusahaan Listrik Negara (PLN). (*)