PT Barito Pacific earmarks $110 million for geothermal work by subsidiary Star Energy in Indonesia
PT Star Energy Geothermal will continue drilling activities and the development of its Salak binary geothermal plant project, as well as exploration on additional areas with earmarked investment of $110 million by its mother company PT Barito Pacific.
As reported earlier this month, PT Barito Pacific Tbk ( BRPT ) has earmarked investment of around US $ 110 million to support the development of geothermal power plants (PLTP) by its Indonesian subsidiary PT Star Energy Geothermal. The capital expenditure is mainly to support regular drilling.
PT Star Energy Geothermal will work on exploration for the planned the Salak Binary geothermal project with a capacity of 15 MW. BRPT ensures that the entire agenda for the Salak Binary PLTP is still on schedule even though the Covid-19 pandemic is still hitting. “The targeted start of commercial operation is still in 2022,” said PT Barito Pacific Tbk Investor Relations Allan Alcazar to Kontan.
Star Energy Geothermal will also explore geothermal in new areas of Sekincau (West Lampung) and Hamiding (North Halmahera, Maluku). Currently, BRPT is preparing infrastructure work in place for exploration drilling with an early schedule for 2022.
Based on public exposure material in November 2020, Star Energy Geothermal has three geothermal plants with a total installed capacity of 875 MW. First , PLTP Wayang Windu in Bandung Regency, West Java, which has an installed capacity of 227 MW. Second , the Salak PLTP in Sukabumi and Bogor Regencies, West Java, with a capacity of 377 MW. Third , PLTP Darajat in Garut and Bandung Regencies, West Java, with a capacity of 271 MW.
Previously, the President Director of PT Barito Pacific Tbk Agus Salim Pangestu emphasized BRPT’s commitment to develop green energy with an electricity capacity of up to 1,200 MW. BRPT hopes to achieve its targets in the next few years.
Star Energy has two new Geothermal Working Area (WKP) locations (green fields) in Sumatra and Eastern Indonesia. Star Energy is quite confident that the opportunity for expansion exists because of the huge potential in Indonesia.
The BRPT project development activities were delayed due to the large-scale social restrictions (PSBB) policy. But now operations are back on track. “The business agenda that has been delayed is relatively small and is now continuing,” he said.
During the nine months of 2020, Star Energy Geothermal contributed US $ 394 million in net income to BRPT . This contribution grew 4.2% on an annual basis (year on year).
Source: Kontan
