Sumitomo Corporation, together with the Kansai Electric Power Company, Inc. has satisfied the conditions precedent for the project financing of the Tanjung Jati B coal-fired power plant Units 5 and 6 expansion project in Indonesia and commenced construction work on the project on March 31, 2017. This build-operate-transfer (BOT) project will add two new units of a high efficiency, ultra-supercritical coal-fired power plant (generation capacity of 2,000 MW) in an area adjacent to the existing Tanjung Jati B coal-fired power plant (Units 1-4, total generation capacity of 2,640 MW) located in Central Java, Indonesia. It will supply electricity over a period of 25 years to Indonesian power utility company PT PLN (Persero), following the completion of plant construction.
Sumitomo, along with PT. Supreme Energy and Engie, has started the construction of the Muara Laboh 80-MW geothermal power project in the West Sumatra Province in Indonesia. Scheduled to commence production in October 2019, the project is expected to cost around JPY 70 billion. \Sumitomo and PT. Rekayasa Industri will carry out the EPC work on the project, while Fuji Electric will supply the main equipment such as geothermal steam turbine and generator. The project will also secure funding through project financing by Japan Bank for International Co-operation (JBIC), ADB, Mizuho Bank, Sumitomo Mitsui Banking, the Bank of Tokyo-Mitsubishi UFJ and the Leading Asia’s Private Infrastructure Fund.