PT Exspan allocates $2 million for Palembang power plant

PT Ekspan Nusantara, a subsidiary of the publicly listed Medco Internasional, has allocated about US$2 million to supply gas of about 10 million cubic feet per day to feed the combined cycle power plant which will be built in Inderalaya, South Sumatra.

Budi Basuki, the vice president of PT Exspan, said in Pelembang on Thursday that the fund would also be used to build a five-kilometer pipeline for the transmission of the gas to the planned power plant.

"This year, the company will allocate about US$1 million of the total fund. We hope the supply of gas to the Inderalaya power plant could be started in August this year," he said in a hearing with the Commission D of the province?s Legislative Council.

Budi said that the gas would be supplied directly to the location of the power plant in Inderalaya, Ogan Komering Ilir (OKI) regency. (*)