South Korean builder Hyundai Engineering Co. said Friday it has secured a US$325 million order to build a coal-fired thermal power plant in Indonesia.
The company, part of Hyundai Motor Group, said the deal includes building two 100 megawatt plants in the Tanjung region of Borneo. The total construction period will take 43 months, with Hyundai Engineering in control of all aspects of engineering, procurement and construction, as well as conducting trial operations once the project is finished.
Tanjung Power Indonesia, a special purpose company set up by PT Adaro Energy, Indonesia’s largest coal producer, and Korea East-West Power Co. placed the construction order.
The latest contract comes as the builder secured two other Indonesian orders this year. It won the $91 million project to build a hydroelectric power station in Rajamandala and a combined cycle power plant in Batam.
Such headway is promising since Indonesia’s economy is expected to expand 7-9 percent annually up to 2015, with Jakarta expected to greatly expand power production capabilities by building more thermal power plants that burn coal. The country’s coal reserves are estimated at 28 billion tons. (Yonhap)
