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Thai participation in acquisition of Chevron geothermal assets in Indonesia

Wayang Windu geothermal power complex, Indonesia (source: flickr/ Andri Suprihadi, creative commons)
Alexander Richter 15 Mar 2017

With an ownership stake in the Wayang Windu geothermal plant in Indonesia, and the participation in the acquisition of geothermal assets in Indonesia by Chevron, Thai firm EGCO Group continues its international investment strategy.

EGCO Group the first independent power producer in Thailand recently published its annual results for 2016 with an insight into the company’s investment in international businesses, among them its participation in the recent sale of the geothermal assets of Chevron in Indonesia and the Philippines.

The company started investing in Indonesia in 2014, holding a 20% indirect ownership interest in Star Energy Geothermal Pte. Ltd., the operator of the 227 MW Wayang Windu geothermal power plant.

In December 2016, the affiliate of EGCO Group, Star Energy Group Holdings Pte. Ltd., and AC Energy Holdings, Inc. entered into Share Sales and Purchase Agreements to acquire shares from Chevron’s affiliates in “Salak” and “Darajat” geothermal power plants in Indonesia. Among the Consortium, EGCO Group will hold 20.07% indirect ownership interest in the Project. The share transfer is expected to be completed in the first quarter of 2017.

“Salak” and “Darajat” geothermal power plants are located in West Java province, Java island, Indonesia and composed of several geothermal steam and electricity generating units with the aggregate capacity of 402 MW of electricity and 235 MW equivalent of steam. The power plants have secured long-term energy sales contracts with PT PLN (Persero), the Indonesian government-owned electricity corporation.

“The acquisition fulfills our business plan in enhancing EGCO Group’s presence in Indonesia which we have existing business, and in line with our strategic directions to pursue investment opportunities in asia pacific region” added Mr. Chanin.

Source: EGCO company release, EGCO release (Dec. 2016)