Star Energy announces successful fund raising
Monday, February 15 2010 - 02:19 AM WIB
The issue was 2.85 times oversubscribed, attracting almost US$1.1 billion in total orders. Of the total bonds sold, 44 percent went to buyers in Asia, 40 percent to the United States and the rest to Europe. Barclays Capital, Nomura, and Standard Chartered Bank were the lead banks for the bond sale, which was marketed in Hong Kong, Singapore, London and the United States.
Star Energy Geothermal (Wayang Windu) Ltd. (?The Company?), is the operator of one of the largest geothermal power projects in Indonesia (?Wayang Windu Plant?). The facility contains two turbine/generator units with a total of 227 MW of operational capacity, housed in the largest single geothermal power plant in indonesia. The Wayang Windu geothermal steam field is located near Bandung in West Java.
The Wayang Windu plant commenced commercial operations in June 2000 from Unit 1, a 110MW geothermal turbine-generator unit. The Company increased its installed generation capacity by 117MW in March 2009 with the start of commercial operations at Unit 2, raising total installed capacity to 227MW.
Star Energy has the right to develop and sell up to 400MW to PLN (Indonesia?s State Power Company) under an existing Energy Sales Agreement. The Company is also looking at the possibility of developing new geothermal electricity projects in east and west Java, and on Sumatra, Halmahera and Bali, and is scrutinising possible geothermal investments outside Indonesia.
?This bond issue will allow us to repay existing debt in our geothermal operations as well as provide initial capital and allow the Company to use its cash flow to continue our planned expansion at Wayang Windu, the addition of a third generation unit that will deliver at least 127MW of additional electricity generation capacity? said Dr Bret Mattes, Chief Executive Officer of the Star Group.
Apart from Wayang Windu Plant, Star Energy operates the Kakap PSC Block in the Natuna Sea, which produces oil and gas in partnership with Premier Oil, Singapore Petroleum, and Pertamina. The natural gas that is produced is sold to Sembawang Corporation in Singapore through the West Natuna Transportation System pipeline, of which Star is one of the owners.
Star Energy also holds PSC exploration blocks in Banyumas (onshore central Java), Sebatik (on/off-shore east Kalimantan) and Sekayu (onshore south Sumatra), three of the most promising oil & gas blocks in Indonesia. Star Energy is currently drilling an exploration well in the Sekayu PSC, and will drill Sebatik by the end of 2010.
The Star Energy Group is one of the leading organisations in Indonesia in terms of its local community interaction, development and support. The Company also has an outstanding record in terms of environmental management and care for the safety and health of its workers, based on the concept of ?Zero Harm?. Through its well established ?Bright Stark? program and company charter, it encourages a focus on values and business excellence across its entire organisation Star Energy programs have been acknowledged through the receipt of three prestigious awards from the Indonesian Government in 2008-09: Gold and Green PROPER Awards for environmental management and community development (the Gold Award is the only one of its kind ever awarded in Indonesia in any industrial sector); a Gold PADMA Award for Corporate Social Responsibility; and a number of Aditama Awards for environmental management and practices. (end of release)