Bakrie Darmakarya starts exploration at East Java geothermal project, Indonesia

The company plans to drill hree geothermal wells, and a “target of each well being capable of generating 55 megawatts of electrical energy,” said Senior Field Operation of PT Bakrie Darmakarya Energi, Saiful Anwar when met after the team of Integrated Licensing Service Office (KPPT) Madiun Regency. This would translate to 165 MW in total from three wells.

The details are two wells in Mendak, Madiun and one well in Ngebel district, Ponorogo regency as presented to the district government of Madiun in an exploration plan for the project which has a total area of 31,880 hectares.

According to Saiful Anwar, the company is widening the road infrastructure to be able to access the drilling sites in Ponorogo. It is planned to start drilling the two wells in Madiun after results of the drilling in Ponorogo is known.

“The process is one-on-one first, we minimize the failure because the cost of drilling is not cheap,” said Saiful.

Saiful said in addition to widening the road, it will also conduct an engineering review, as well as a social impact analysis.

Head of EMR Department of Madiun Regency, Aris Budi said KPPT Madiun District called PT Bakrie Darmakarya Energi as the winner of the geothermal energy project of Ministry of Energy and Mineral Resources which will have to be updated on the progress of the project.

Madiun Regency hopes that the office and project facilities will be built in Madiun, not in Ponorogo. Aris said that the existence of geothermal power plant in Madiun Regency can improve the economy for Madiun people.

He predicts Madiun Regency will get Rp 100 billion ($7.5 million) from non-tax revenue post with the presence of geothermal energy power plant in Mendak.

If everything is according to plan, the geothermal power plant could be completed in 2020 and provide electricity to the grid and the region.