|
Ormat wins $200m project in Indonesia
Ormat Technologies will build and supply equipment for a 340 MW geothermal power station.
Ormat Technologies Inc. has won a $200 million project in Indonesia to build and supply equipment for a 340 megawatt (MW) geothermal power station. Ormat Technologies subsidiary Ormat International Inc. and its partners, Medco Energi Internasional Tbk (Indonesia's largest private oil and gas company), and Itochu Corp. will sell the power to Indonesia's state-owned utility PT PLN (Persero) under a 30-year Power Purchase Agreement (PPA).
The consortium will develop the Sarulla geothermal field in northern Sumatra, build the field piping systems, supply three Ormat designed power plants with a combined gross capacity of 340 MW and operate them during the contract period. Construction will be in three stages of 110-120 MW each, spread over five years. The first stage is scheduled to be completed within 30 months after financing is closed, and the last stage within 48 months.
The total project cost is projected to be about $600 million. The value of Ormat's scope of work for the supply of power plant equipment is expected to be approximately one third of the total project's cost. Release of the supply contracts to Ormat will be made upon the financial closing of the transaction, expected to be 12 months from the effective date of the PPA.
|
|
|
