Pertamina breaks ground on Lumut Balai 2 geothermal power plant construction

Lumut Balai geothermal plant, Indonesia (source: WIKA)

PT Pertamina Geothermal Energy (PGEO) has broken ground on the construction of the power plant and Fluid Collection and Reinjection System (FCRS) for the Lumut Balai Unit 2 project in South Sumatra, Indonesia. The 55-MW expansion of the existing power facility is set to operate by the end of 2024.

“Construction [of] Lumut Balai PLTP Unit 2 will increase the geothermal capacity in the Lumut Balai Area, bringing the total geothermal energy in the area to 110 MW, making it the third largest PLTP (pembangkit listrik tenaga panas bumi / geothermal power plant) in Sumatra,” said PGEO President Director Julfi Hadi during the groundbreaking ceremony.

Unit 1 of the Lumut Balai geothermal power project came online in October 2019.

Julfi further said that the Lumut Balai Unit 2 project has been the product of collaboration between three companies from Japan, China, and Indonesia. In late 2022, PGEO awarded the EPCC contract for the project to Mitsubishi Corporation Consortium, PT Wijaya Karya (Persero) Tbk, and SEPCO III Electric Power Construction Co. Ltd.

The project has also received USD 155 million in funding from the Japan International Cooperation Agency (JICA).

“This is the Company’s step in supporting the government to achieve the national energy mix target of 23 percent by 2025 and net zero emissions [by] 2060,” added Julfi.

PGEO has ongoing exploration efforts for other geothermal sites in Indonesia including the Way Ratai project with Chevron and the Kotamobagu project with Chevron and Mubadala Energy. On the international front, PGEO with Masdar Energy is backing the development of the Suswa geothermal site in Kenya.

Source: Bisnis.com