SARULLA GEOTHERMAL POWER GENERATION PROJECT (ADB-42916-014)

Regions
  • East Asia and Pacific
Where the impacts of the investment may be experienced.
Countries
  • Indonesia
Where the impacts of the investment may be experienced.
Financial Institutions
  • Asian Development Bank (ADB)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Active
Bank Risk Rating
A
Risk rating varies among banks and may refer only to the particular investment and not to the risk for the project as a whole. Projects marked 'U' have an 'Unknown' risk rating at the time of disclosure.
Voting Date
Dec 5, 2013
The estimate day the bank will vote on a proposed investment. The decision dates may change, so review updated project documents or contact the EWS team.
Borrower
SARULLA OPERATIONS LIMITED
The holder of the loan, grant, or other investment.
Sectors
  • Energy
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, etc.
Investment Amount (USD)
$ 350.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Loan Amount (USD)
$ 350.00 million
Value listed on project documents at time of disclosure. If necessary, converted to USD$. Please review updated project documents for more information.
Bank Documents
Primary Source

Original disclosure @ ADB website

Updated in EWS Oct 5, 2018

Disclosed by Bank Sep 29, 2014


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Project Description

According to ADB website, the project will develop the steam resources in the Sarulla concession area and construct, operate, and maintain three geothermal power generation units with a total capacity of about 320 megawatts (MW). The units will be powered by steam from production and injection facilities at the Silangkitang and Namora-I-Langit reservoirs, located in North Sumatra. The project will be developed and implemented under a 30-year energy sales contract (ESC) with PLN, a 30-year joint operating contract (JOC) with Pertamina Geothermal Energy (PGE) and a 20-year guarantee from the Ministry of Finance, as stipulated under a business viability guarantee letter (BVGL).

Investment Description
  • Asian Development Bank (ADB)

Ordinary capital resources US$ 250 million (Committed)

Clean Technology Fund US$ 80 million (Committed)

Canadian Climate Fund for the Private Sector in Asia I US$ USD 20 million (Committed)

Contact Information

Project Sponsor(s)

Inpex Corporation
Itochu Corporation
KYUSHU ELECTRIC POWER COMPANY
Medco Power Indonesia
Ormat International

ACCOUNTABILITY MECHANISM OF ADB

The Accountability Mechanism is an independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an Asian Development Bank-financed project. If you submit a complaint to the Accountability Mechanism, they may investigate to assess whether the Asian Development Bank is following its own policies and procedures for preventing harm to people or the environment. You can learn more about the Accountability Mechanism and how to file a complaint at: http://www.adb.org/site/accountability-mechanism/main