Heads of Agreement Signed for the Development of 600MW Gas Power Plant in Indonesia

Heads of Agreement Signed for the Development of 600MW Gas Power Plant in
Indonesia

PT. Energi Nusantara Merah Putih (ENMP) jointly with the industrial tenants
of the Bantaeng Industrial Park (KIBA) has signed a Heads of Agreement (HoA)
in Jakarta, outlining the development plan for a 600MW combined-cycle power
plant (PLTGU). The partnership is fully supported by the Government of
Bantaeng Regency, South Sulawesi. ENMP will work on the landmark project
with Philippines-based, Atlantic, Gulf and Pacific Company (AG&P), that
specializes in bringing LNG to markets that are currently off-grid with
pragmatic, fast-track, standardized infrastructure.

In 2014, following the adoption of Government Regulation on banning the
export of unprocessed mineral ore, the Bantaeng Regent, KIBA was formed
covering an area of approximately 3,000ha at the initial stage. The KIBA
provides special services to industrial tenants and has attracted a sizeable
number of domestic and foreign investments, particularly in smelter
development within the regency. Consequently, there is robust growth demand
for energy that must be met with adequate installed capacity with a reserve
margin to meet the fluctuating and non-linear load demands of nickel
smelters operating in the KIBA.

ENMP jointly with its subsidiaries PT. Pasifik Agra Energi and PT. Power
Merah Putih are responsible for providing prime energy to the KIBA. ENMP and
its partners will also strive to develop Bantaeng as the center of LNG
distribution for the central and eastern Indonesia region. The LNG terminal
and power plant have an estimated total investment of USD980 million.

"The integration of this project will allow the KIBA supporting industries
to accomplish the construction of the LNG receiving terminal immediately.
This is a crucial part of the 600MW power plant itself, which will start
operations by mid-2021," said the President Director of ENMP, Westana H.
Wiraatmadja.

Bringing together its in-house expertise, AG&P will focus on the design,
engineering, construction and operation of the LNG receiving terminals at
KIBA. The modular components of the terminal will be constructed at its
state-of-the-art manufacturing facilities in Batangas, South of Manila,
Philippines.

"AG&P is thrilled to support this nationally important project in Bantaeng.
We look forward in short order to LNG being available for the power plant
and to industry and consumers throughout Southern Sulawesi and nearby
regions. AG&P will work hard to achieve this goal," said AG&P CFO &
Commercial Head, Abhilesh Gupta.

AG&P brings to this important project its outstanding in-house engineering
expertise in developing LNG receiving terminals and their supply chains,
coupled with its unmatched global track record as a pioneer of high-value
modular infrastructure. Currently, the project is in the engineering phase
and is expected to reach financial close within one year, followed
immediately by the construction of the LNG terminal and power plant.

By encouraging the development of industrial-based areas like the KIBA,
Bantaeng will become one of the largest nickel processing centers in the
world and will contribute significantly to the economy of Indonesia and
South Sulawesi, and particularly the regency itself.

About AG&P

Based in the Philippines, Atlantic Gulf & Pacific Company of Manila (AG&P)
is a pioneer of high-value modular infrastructure now at the forefront of
the LNG infrastructure revolution providing gas or LNG to customers via
integrated LNG receiving terminals and their supply chains. AG&P designs,
manufactures, finances, leases, operates and maintains regasification and
storage terminals, LNG transportation vessels and demand-stimulated assets.
From sourcing gas to last-mile delivery, AG&P is the unique integrator that
brings all parties together to deliver projects for lower, pragmatic capital
cost.

For more than 117 years, AG&P has been a global leader in infrastructure
solutions, delivering cutting-edge modularized products and support services
to vessels, projects, and plants for the energy, resources and industrial
sectors. AG&P modularizes infrastructure for refineries, LNG export and
import facilities, power, petrochemical, and mining plants, building up to
125,000 tons of dense and complex modules each year.

--- --- --- --- --- --- --- --- --- --- --- --- --- --- ---

Link to Original Article:
http://www.businesswire.com/news/home/20170811005148/en/Heads-Agreement-Sign
ed-Development-600MW-Gas-Power

--- --- --- --- --- --- --- --- --- --- --- --- --- --- ---

John Diecker
APT Consulting Group Co., Ltd.

www.aptthailand.com