PGE Gaet Elnusa, PertaMC And PGAS Solution To Develop Geothermal Energy

Joint Study Agreement (JSA) to develop technological solutions. (Doc. PGEO)

JAKARTA - PT Pertamina Geothermal Energy Tbk (PGEO) together with PT Elnusa Tbk (Elnusa), PT PGAS Solution (PGASOL), and PT Pertamina Maintenance and Construction, (PertaMC), PGE implements Joint Study Agreement (JSA) to develop technological solutions including opportunities for domestic production of a number of key components of geothermal power plants.

Director of Strategy, Portfolio, and Business Development of PT Pertamina (Persero) A. Salyadi Saputra appreciated the strategic collaboration to realize the geothermal center of excellence as a provider of geothermal technology solutions in Indonesia.

"This is a very strategic initiative for Pertamina, which has been managing geothermal heat in Indonesia for more than 40 years. This collaboration is expected to support PGE to achieve its vision of becoming a world class green energy company with the largest geothermal capacity globally," said A. Salyadi Saputra quoted on Saturday, June 29.

President Director of Pertamina New and Renewable Energy (PNRE) John Anis added that new and renewable energy, especially geothermal managed by PGE, is a future for Pertamina and Indonesia's businesses.

"Development of geothermal energy faces many challenges and one solution is efficiency to stay competitive. Efforts to bring a center of excellence to Indonesia will help PGE become more efficient in developing geothermal," said John.

PGE President Director Julfi Hadi explained that the signing of the JSA was a strategic step for PGE and its partners in optimizing the development of geothermal energy by utilizing domestic industrial capabilities and technology expertise.

"This initiative is an extraordinary effort that should be appreciated together because in the future there will be innovations and various other collaborations to create a technology portfolio in renewable energy massively and integrated. We are optimistic about the great potential for geothermal to be the driving force in accelerating the transition to clean energy," said Julfi Hadi.

This JSA includes, but is not limited to, joint studies related to the potential development of a business portfolio that covers the heat exchange manufacturer, geothermal operation and maintenance service, cooling tower manufacturer, and EPCC and pipeline construction.

President Director of Elnusa Bachtiar Soeria Atmadja said that Elnusa's collaboration with PGE is currently not the first, for that Elnusa is very welcome and ready to support and contribute to the development of the geothermal industry.

"This synergy and collaboration reflects Elnusa's commitment to continue to innovate and make meaningful contributions in the new renewable energy sector, in this case the Geothermal Center of Excellence," Bachtiar said.

The President Director of PGASOL Sabaruddin also said that the conversion of energy is a new task for all parties involved in this cooperation.

"For that, I really appreciate this full synergy of benefits. We will continue to be optimistic and provide support for the country regarding innovation in the aspect of the national energy transition, and one of them is through this joint study," he said.

President Director of PT PertaMC Andry Widiasti stated that he is ready to support and collaborate for the development of PGE's geothermal energy through the synergy of the Pertamina Group.

"PertaMC always strengthens its commitment as a trusted and reliable partner for stakeholders, by continuing to create sustainable, improving and developing Company competencies and businesses to create Pertamina Beyond Synergy," said Andry.

This collaboration is also PGE's initiative as Pertamina's front line in the national energy transition. JSA will encourage the use of the potential for domestic energy company manufacturing and engineering in creating a new and leading ecosystem in the geothermal sector, especially making geothermal development more affordable. Until now, most of the technology used for geothermal development is still imported.

Not only that, JSA is a breakthrough to diversify business models and create value creation from geothermal technology through new revenue streams, exploring business potentials other than electricity (beyond electricity).

With the synergy with Pertamina Group, PGE believes that expansion to create a geothermal future revenue stream can increase competitive advantages, encourage innovation, and commercial activity.