PTBA ups investment for power plants
Monday, August 4 2008 - 02:02 AM WIB
PTBA?s corporate secretary Eko Budhiwijayanto was quoted by Investor Daily as saying in Jakarta late last week that the company would raise loans from a syndication of banks to increase the investment for the planned power plant.
He said that the company was currently renegotiating the engineering, procurement and construction (EPC) contract for the power plant which will have two turbines each with a capacity of 100 megawatt.
?The completion of the project will be delayed to 2011 from the initial schedule of 2010,? he said.
PTBA has a 41 percent shares PT Bukit Pembangkit Innovaitive (BPI, the the joint venture that owns the power plant, The other shareholders are PT Navigat Innovative Indonesia (39 percent) and PT Perusahaan Listrik Negara's (PLN) subsidiary PT. Pembangkit Jawa-Bali (20 percent).
Electricity from the power plant will be sold to PLN at 3.78 US cents per kwh.
PTBA will supply 1.15 million tons per annum of coal for the power plant.
BPI has secured Rp.1.64 trillion (US$= Rp9,100) from Bank Mandiri and Bank Ekspor Indonesia and has appointed Chinese firm Jiannxi Electric Power Overseas Engineering as contractor to build the power plant and PT. Cita Contract as transmission developer.
Eko also said another mine-mouth power plant project co-owned by PTBA in Bangko Tengah would also need a larger amount of investment due the surging construction costs and prices of steel.
?We are still calculating the rise in the investmetn costs," he said.
In October 2006, PTBA and state-owned electrical utility PT Perusahaan Listrik Negara (PLN) and China Huadian Corp. signed a deal in China to jointly build the 4x600 MW Bangko Tengah mine-mouth power plant in South Sumatra with investment of $2.1 billion
The mine-mouth plant will be majority owned by China Hua Dian Corporation, with a 55 percent stake. (*)