Sarulla consortium to drill geothermal wells soon
Monday, August 11 2014 - 02:24 AM WIB
The paper quoted Director General of New and Renewable Energy Rida Mulyana as saying that the Sarulla geothermal project is among of the key projects being closely monitored and accelerated by the current government before its term ends in October.
?The target is for drilling a new well on September 15,? said Rida, adding that drilling of the second extra well was scheduled for October.
He said that 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 US$1.7 billion loan agreement with several lenders, paving the way for the construction of the long-delayed project.
Investor Daily said that so far 13 geothermal wells had been drilled, and the consortium is expected to drill another 20 wells.
The paper said that 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.
The consortium has signed an energy sales agreement with state-owned power plant PLN, under which the latter would buy electricity from the Sarulla geothermal power project at US$6.5 per Kwh. (*)