Mitsubishi Power, a power solutions brand of Mitsubishi Heavy Industries, Ltd. (MHI), has received an order from PT Pertamina Geothermal Energy (PGE), the geothermal energy subsidiary of Indonesia’s state-owned oil and natural gas corporation PT Pertamina (Persero), for a 55 MW power generating unit comprising a steam turbine, generator, and related equipment for the Lumut Balai Unit 2 geothermal power plant.
The turnkey contract for the development of the power plant in the Indonesian province of South Sumatra will be conducted with Mitsubishi Corporation, Chinese construction company SEPCO III Electric Power Construction Co., Ltd. (SEPCO III), and local major civil engineering and construction firm PT Wijaya Karya (Persero) Tbk. Commercial operations are scheduled to begin in 2024.
The development site for the Lumut Balai II geothermal power plant is about 290km southwest of the city of Palembang in the southern region of Sumatra, at an elevation of approximately 1,000 meters. The project aims to mitigate the effects of climate change and contribute to the Indonesian government’s target for 23% of the country’s power supply to be derived from renewable energy sources by 2025. PGE has received a yen loan (official development assistance) from the Japan International Cooperation Agency (JICA) to conduct this project.