Joint venture to construct Indonesian coal-fired plant

PT Praba Indopersada and the Gezhouba Group have formed a joint venture to construct PLN's 100MW coal-fired power plant in West Kalimantan, Indonesia.

Praba will carry out construction works, while Gezhouba will be responsible for mechanical and electrical works for the $172m project.

Partly financed by loans from Chinese banks, feasibility studies for the plant have been completed.

Work is scheduled to commence for the first phase on June, with the the second phase to begin in September.

Gezhouba and Praba signed a memorandum of understanding along with other representatives of the Chinese and Indonesian Governments and firms for the project.

The plant is expected rto start operating in 2014.