PT. Energi Nusantara Merah Putih (ENMP) and the industrial tenants of the Bantaeng Industrial Park (KIBA) have signed a Heads of Agreement (HoA) to develop a 600 MW combined-cycle power plant (PLTGU).
ENMP will work on the project with Atlantic, Gulf and Pacific Company (AG&P).
In 2014, following the adoption of Government Regulation on banning the export of unprocessed mineral ore, the Bantaeng Regent, KIBA was formed covering an area of approximately 3000 ha. at the initial stage. The KIBA provides special services to industrial tenants.
ENMP and its subsidiaries, PT. Pasifik Agra Energi and PT. Power Merah Putih, are responsible for providing prime energy to the KIBA. They will also strive to develop Bantaeng as the centre of LNG distribution for the central and eastern Indonesia region. The LNG terminal and power plant have an estimated total investment of US$980 million.
President Director of ENMP, Westana H. Wiraatmadja, said: "The integration of this project will allow the KIBA supporting industries to accomplish the construction of the LNG receiving terminal immediately. This is a crucial part of the 600 MW power plant itself, which will start operations by mid-2021."
AG&P will focus on the design, engineering, construction and operation of the LNG receiving terminals at KIBA. The modular components of the terminal will be constructed at its state-of-the-art manufacturing facilities in Batangas, South of Manila, Philippines.
AG&P CFO and Commercial Head, Abhilesh Gupta, said: “AG&P is thrilled to support this nationally important project in Bantaeng. We look forward in short order to LNG being available for the power plant and to industry and consumers throughout Southern Sulawesi and nearby regions. AG&P will work hard to achieve this goal.”
The project is currently in the engineering phase and is expected to reach financial close within one year, followed by the construction of the LNG terminal and power plant.
Read the article online at: https://www.tanksterminals.com/storage-tanks/14082017/agp-to-build-lng-receiving-terminal/