Toyo Engineering to propose Geothermal Master Plan for Indonesia
Toyo Engineering President and CEO HOSOI Eiji (left), together with officials from Indonesia’s Ministry of Energy and Mineral Resources, attended the signing ceremony for the letter of intent on cooperation to develop the master plan. (source: Toyo Engineering)
Carlo Cariaga
21 Oct 2024
Japanese Toyo Engineering will work with Indonesia's Ministry of Energy and Mineral Resources on a "Geothermal Master Plan" to optimize geothermal resources.
Japanese engineering company Toyo Engineering Corporation (Toyo) has signed a letter of intent with Indonesia’s Ministry of Energy and Mineral Resources (MEMR) to cooperate on the development of a “Geothermal Master Plan.” The plan is set for demonstration work in 2025 and full commercialization by 2026-2027.
A “Geothermal Master Plan” envisions the use of technologies to maximize the potential and opportunities in Indonesia’s existing geothermal fields. The company thus proposes the concept of a “geothermal carbon neutral park” that will help reduce risks and ensure sustainability in geothermal project development.
Toyo had previously signed an MOU with PT Medco Power for a joint study on geothermal opportunities based on this same concept.
To generate power, for example, the project plans to employ a closed-loop system that can extract heat even from fields with insufficient steam. In addition to generating electricity, extra value can be extracted from a geothermal field by producing next-generation fuels such as green hydrogen, and such green fuels as ammonia and methanol. Another option is to recover valuable mineral resources in the geothermal brine, including silica and lithium.
Toyo ultimately aims to develop a concept that will allow for geothermal development in sites that previously may not be considered very attractive. “Although geothermal energy has great potential, when it comes to its actual development, there may not be a sufficient number of locations that have both the necessary amount of water and heat,” said SAKATA Eiji, executive officer and Carbon Neutral Business Division director at Toyo Engineering Corporation.
Since the 1970s, Toyo Engineering has established relationships with entities in Indonesia to construct fertilizer and ammonia production facilities. In 2012, it acquired IKPT—a local Indonesian company with an extensive track record in geothermal power—as a subsidiary. This has helped to facilitate the business of Toyo in Indonesia and allowed for smooth communication with local partners.
Source: Government of Japan
