Sarulla consortium to drill 33 geothermal exploration wells
Wednesday, November 19 2014 - 01:42 AM WIB
The Sarulla Consortium, which is developing a 3x110 MW geothermal power plant in Tapanuli Utara recency, North Sumatra, will drill 33 exploration wells to support the geothermal power plant project, according to an official at the Energy and Mineral Resources Ministry.
"Sarulla consortium is drilling a wildcat well and is now close to the TD (total depth). We expect the drilling to be completed in weeks and bring a successful outcome," Director of Geothermal at the Directorate General of New and Renewable and Energy Conservation, Tisnaldi told Petromindo.com.
He added that the power plant is ready to be built. The first unit of the power plant project is scheduled to begin commercial operation in 2016, the second unit in 2017, and the third in 2018.
According to Tisnaldi, the Sarulla geothermal power plant project is included as key projects that must be accelerated amid electricity shortage in North Sumatra.
The Sarulla Consortium, which comprises of PT Medco Power, Itochu, Kyushu and Ormat Technologies, signed in March of this year a US$1.7 billion loan agreement with several lenders, paving the way for the construction of the long-delayed project.
The consortium has signed an energy sales agreement with state-owned electricity firm PT PLN, under which the latter would buy electricity from the Sarulla geothermal power project at $6.5 per Kwh.
Editing by Johannes Simbolon