Sekawan to soon complete FS for power, ethanol plants

By Thomas Sembiring

IDX-listed coal mining firm PT Sekawan Intipratama Tbk hopes to complete in the third quarter of this year feasibility studies (FS) for a planned mine-mouth power plant and ethanol plant in East Kalimantan.

Sekawan President Director Suluhudin Noor said last week that his company plans to develop a 2x15 MW power plant near its mine in Melak, West Kutai Regency, projected to be completed end of next year.

The electricity from the power plant will be used to support a planned ethanol plant, he said, adding that excess power will be sold to state utility PLN.

Sekawan via subsidiary PT Indo Wana Bara Mining Coal operates a 5,000-ha coal concession in West Kutai Regency, with estimated resources of 533.31 million tons, and reserves of 288.1 million tons. The company hopes to start production in July.

Sekawan signed last year an agreement with Switzerland-based ProCone GmbH, appointing the latter as EPC contractor for the planned ethanol plant in West Kutai that would have annual production capacity of 480,000 tons.

Editing by Reiner Simanjuntak