Indonesia plans auction for geothermal projects valued at $1 billion
The Indonesian government expects to launch an auction for 6 geothermal working areas with an expected 255 MW of potential power generation capacity, with an estimated investment volume of up to $1 billion.
As reported by The Jakarta Post, the Indonesian government plans to auction 6 geothermal projects in September.
The six projects have an estimated value of up to $1.02 billion with a combined potential power generating capacity of 255 MW. There has been great interest in the projects, from companies and investors from Indonesia, U.S., Italy, Japan, South Korea, Turkey and China.
“This auction is quite attractive, but we have to wait for the result because the auction process usually takes four to five months,” Yunus Saefulhak, geothermal director at the Ministry of Energy and Mineral Resources, said just ahead of the Indonesia International Geothermal Conference and Exhibition that starts tomorrow in Jakarta.
The projects are Kapahiang in Bengkulu with a capacity of 110 MW, Simbolon Samosir in North Sumatra with 110 MW, Borapulu in Central Sulawesi with 10 MW, Lamiding in North Maluku with 10 MW and Oka Ile Ange and Mount Sirung in East Nusa Tenggara with capacities of 10 MW and 5 MW, respectively.
The average investment cost for geothermal development in Indonesia is estimated at around $4 million per installed MW.
This year, the country expects to add 320 MW to the geothermal power generation capacity, with additional 215 MW to come from Sarulla in North Sumatra, 30 MW from Karaha in West Java, 20 MW from Sorik Marapi in North Sumatra and 55 MW from Ulubelu Unit 4 in Lampung.
ThinkGeoEnergy is attending the IIGCE event in Jakarta this week and will report over the coming days from the event.
Source: The Jakarta Globe