Genting's Unit To Build About US$1 Bln Coal-Fired Power Plant In Indonesia

KUALA LUMPUR, July 11 (Bernama) -- Investment holding and management company Genting Bhd's indirect wholly-owned unit, PT Lestari Banten Energi (LBE), will build a coal-fired power plant worth US$1 billion or RM3.19 billion (about US$1 billion) in Banten, Indonesia. The project entails financing, design, procurement, construction, commissioning, operations and maintenance of the plant, with 660MW gross generating capacity "The Banten Plant is expected to commence commercial operations in 2017," it said in an announcement to Bursa Malaysia. The plant will be developed and operated on a build, own, operate and transfer basis. LBE is a 95 per cent-owned unit of Lestari Listrik Pte Ltd (LL), which in turn is an indirect wholly-owned unit of Genting, Malaysia's leading corporation. The remaining five per cent equity in LBE is held by PT Hero Inti Pratama (Hero), LL's local partner. Genting said LBE signed a 25-year power purchase agreement today with PT PLN (Persero), Indonesia's state-owned electricity company, to develop the plant. Up to 75 per cent of the cost to be financed via non-recourse debt to be taken by LBE and the balance to be financed via equity injections and shareholders' loans from LL and Hero. -- BERNAMA