Rantau Dedap geothermal projects secures $540m loan from JBIC, ADB and others
Details emerge on the $520 million financing package for the 90 MW Rantau Dedap geothermal project in Indonesia, funded by JBIC, Asian Development Bank (ADB) and a group of major commercial banks from Japan.
As indicated earlier, a financial close for the financing of the 90 MW Rantau Dedap geothermal was reached.
Indonesian news outlet Rambu Energy now reports that the development JV PT Supreme Energy Rantau Dedap has secured a loan worth US$540 million from Japan Bank for International Cooperation (JBIC), Asian Development Bank (ADB) and a group of major commercial banks from Japan to fund the first phase of Rantau Dedap geothermal power plant.
Other banks involved are Mizuho Bank Ltd., Bank of Tokyo-Mitsubishi UFJ, and Sumitomo Mitsui Banking Corporation as well as Nippon Export and Investment Insurance as guarantor.
The Asian Development Bank (ADB) signed sign up for approximately $175.3 million of the total loan amount. As part of the financing, the ADB will also administer an additional loan provided by the Clean Technology Fund (CTF), which is a rollover amount from an existing CTF facility for the first phase of the project.
Yuichiro Yoi, unit head for Indonesia at ADB’s Private Sector Operations Department, said the project also demonstrates “Indonesia’s strong commitment to developing renewable energy sources to diversify its energy mix and reduce its carbon emissions.”
For the first phase of the project, the developer plans with a capacity of around 86 MW with estimated start of operation in 2020. approximately three years. Drilling has already started, and the plan is to drill 12-16 wells.
PT Supreme Energy Rantau Dedap is joint venture company of ENGIE, PT Supreme Energy, Marubeni of Japan and Tohoku Electric Power of Japan.
As reported earlier, a conclusion on a PPA was reached with PLN in November 2017, with a price of $0.1176/ kWh.
Source: Rambu Energy
Note: This article was updated with information as it relates to the portion of the Asian Development Bank as part of the financing, based on ADB announcement.