Pertamina Reaches Financial Close on $1.8b West Java Gas Power Station Project


DECEMBER 09, 2018

Jakarta. State energy firm Pertamina said on Friday that it reached financial close for a $1.8 billion integrated gas-fired power station project on Dec. 5 with Japanese partners Marubeni and Sojitz.

The project, located in Cilamaya, West Java, would be one of the largest of its kind in Southeast Asia, Pertamina said in an emailed statement.

The consortium of lenders for the project includes the Japan Bank for International Cooperation, Nippon Export and Investment Insurance, the Asian Development Bank, Mizuho Bank, MUFG Bank and Overseas Chinese Banking Corporation.

"The next challenge will be ensuring that the construction phase can be implemented on schedule," said Ginanjar, president director of Pertamina Power Indonesia.

The project will commence construction in the third week of December, and is targeted to begin commercial operation in December 2021, he said.

The project includes the 1,760-megawatt Jawa-1 combined cycle power station and an accompanying 170,000-cubic-meter floating storage and regasification unit that will process shipments of liquefied natural gas.

Civil engineering and construction of the plant will be carried out by Samsung C&T Corp, turbines are to be supplied by General Electric and the floating storage and regasification unit is to be developed by Samsung Heavy Industries, Pertamina said.

"Marubeni looks forward to supporting Indonesia's development by contributing to the supply of stable electricity in the country," Marubeni said in a statement.

The project has a contract to supply electricity to state-owned power utility Perusahaan Listrik Negara (PLN) for 25 years.