Pertamina reaches financial close for $1.8b gas-fired power station

Construction will start in the third week of December.

Reuters reports that Pertamina has reached the financial close of a $1.8b integrated gas-fired power station project on 5 December with its Japanese partners Marubeni and Sojitz.

According to the company, the project in Cilamaya, West Java province would be of the largest of its kind in Southeast Asia. Pertamina Power Indonesia president director Ginanjar added construction will start in the third week of December and is targetted to begin commercial operation in December 2021.

The project includes the 1,760MW Jawa-1 combined cycle power station and an accompanying 170,000-cubic-metre floating storage and regasification unit (FSRU) that will process shipments of liquefied natural gas (LNG).

“The next challenge will be ensuring that the construction phase can be implemented on schedule (and on budget)”, Ginanjar said.

The consortium of lenders for the project includes the Japan Bank for International Cooperation (JBIC), Nippon Export and Investment Insurance Co Ltd (NEXI), the Asian Development Bank (ADB), Mizuho Bank Ltd, MUFG Bank Ltd, and Overseas Chinese Banking Corporation Ltd.

Read the full report here.