Pertamina signs EPCC for 55-MW Lumut Balai Unit 2 in Sumatra, Indonesia

PT Pertamina Geothermal Energy (PGE) has signed an agreement for the Engineering, Procurement, Construction, and Commissioning (EPCC) with the Mitsubishi Corporation Consortium, PT Wijaya Karya (Persero) Tbk, and SEPCO III Electric Power Construction Co. Ltd. for the 55-MW Lumut Balai Unit 2 Geothermal Power Plant and the corresponding Fluid Collection and Reinjection System (FCRS).

The Lumut Balai geothermal site is located in the Muara Enim and the Ogan Komering Ulu Regencies in South Sumatra, Indonesia. Preparations for the expansion of the original 55-MW Lumut Balai Unit 1 started back in 2019 with the tender for the EPCC announced in 2020.

The scope of the contract will include the design, manufacturing, civil works construction, commissioning, performance testing, and warranty for facilities. The facility was designed to be operational for more than 30 years and will be operated and maintained by PGE. The project is funded by Japan’s ODA loan under the Government to Government lean between the Japan International Cooperation Agency (JICA) and the Government of Indonesia.

President Director of PGE Ahmad Yuniarto stated that the Lumut Balai geothermal power plants Unit 1 and 2 can potentially reduce greenhouse as emissions by around 581,518 tons of CO2 equivalent per year. It will also increase PGE’s total installed capacity to 727 MW.

PGE currently manages 13 Geothermal Working Areas (WKP) in Indonesia with a total installed capacity of 1.8 GW. Facilities directly managed by PGE account for 672 MW, while the remaining 1205 MW is managed under Joint Operation Contracts.

Source: CNBC Indonesia