ENERGY DEVELOPMENT CORP. (EDC) has partnered with PT DSSR Daya Mas Sakti, a subsidiary of Indonesia’s PT Dian Swastatika Sentosa Tbk (DSSA), to develop geothermal resources with a total capacity of 440 megawatts (MW) in Indonesia.
In a statement on Wednesday, EDC said its subsidiary, PT First Gen Geothermal Indonesia, has entered into an agreement with PT DSSR Daya Mas Sakti.
The company said the partnership will focus on the development and management of geothermal resources across six strategic fields in the provinces of West Java, Flores, Jambi, West Sumatra, and Central Sulawesi.
“By combining EDC’s global capabilities with DSSR’s strong local presence, this joint venture will not only develop projects, but also build capacity and transfer knowledge that will leave a lasting impact on Indonesia’s renewable energy sector,” EDC Vice-Chairman and Chief Executive Officer (CEO) Francis Giles B. Puno said.
EDC said the collaboration provides the company with an opportunity to apply its global expertise in geothermal development to strengthen Indonesia’s renewable energy capacity.
“Our goal is to strengthen national capacity in geothermal development and to fully harness the country’s natural potential for clean energy. Together, we aim to create real value for communities, the economy, and the environment,” said Lokita Prasetya, president director of PT DSSR Daya Mas Sakti and vice-president director of PT Dian Swastatika Sentosa Tbk.
PT DSSR Daya Mas Sakti is an indirect subsidiary of PT Dian Swastatika Sentosa Tbk engaged in geothermal energy development.
Founded in 1996, PT Dian Swastatika Sentosa Tbk is a leading energy and infrastructure company in Indonesia. DSSA’s businesses span mining, renewable energy, technology, chemicals, and investments.
In October last year, EDC said it had obtained rights to explore and drill two greenfield geothermal projects from Indonesia’s Ministry of Energy and Mineral Resources.
The company secured preliminary survey and exploration rights for the Koto Sani Tanjung Bingkung and Bora Pulu geothermal projects, which have a combined potential capacity of 40 MW and would require a total investment of $456 million.
First Gen, the parent company of EDC, holds a total of 3,675 MW of combined capacity from its portfolio of plants powered by geothermal, wind, hydropower, solar energy, and natural gas.
At the local bourse on Wednesday, shares of the company rose 0.73% to close at P16.50 apiece. — Sheldeen Joy Talavera
