Sekawan to build biomass power plant
Thursday, September 17 2015 - 01:19 AM WIB
IDX-listed integrated coal mining and energy company PT Sekawan Intipratama Tbk has signed a cooperation agreement with PT Austral Byna, which holds forest concession in East Kalimantan, for the development a combined 10x10 MW biomass power plant in the province?s Melak District.
Under the agreement, Austral will provide the required wood pellet as feedstock for the planned power plant.
?In the first stage, we?ll realize 2x10 MW in Melak,? said President Director of Sekawan, Suluhudin Noor on Wednesday, adding that the first phase project is expected to be completed end of next year.
Suluhudin said that the biomass power plant project forms part of the company?s efforts to become an integrated energy firm. He added that the company was also lured by incentives provided by the government for biomass power plant project including assurance of output to be purchased by state-owned electricity firm at attractive price.
Meanwhile, Austral Director Hasanudin A. Latief said that the company?s subsidiary PT Austral Byna Energi will team up with Sekawan?s coal mining subsidiary PT Indo Wana Bara to develop coal fired power plants in the country.
Editing by Reiner Simanjuntak