Wayang Windu seeking loans of up to US$170 million
Friday, December 30 2005 - 02:56 AM WIB
Star Energy?s president director Supramu Santosa said in Jakarta on Thursday that the company was still negotiating the proposed loan with a consortium comprising of foreign financial companies.
He refused to unveil the names of the companies, which would provide the loans. About 70 percent of the loan will be used to finance the construction of the geothermal power plant, while the remaining 30 percent would be used to develop geothermal wells.
?We plan to drill about 10 geothermal wells in March. Each well will cost about US$3.5 million,? he said. The new power generator unit is expected to begin operation in 2008, with total capacity of about 110 MW. The existing Wayang Windu power unit, which began operation in early 2000, also has the capacity to produce about 110 MW.
Meanwhile Ali Herman Ibrahim , PLN?s director for power generation and prime energy, said that Star Energy had agreed to lower the price of power from the new Wayang Windu power plan to 4.94 U.S. cent per kWh. ?We are still waiting for approval from the Minister of Energy and Mineral Resources,? he added. Star Energy earlier asked PLN to buy the power from the new power plant at 5 U.S. cent per kwh. (godang)