Genting arm to build power plant in Indonesia (3182)

Genting Bhd's indirect wholly-owned unit, PT Lestari Banten Energi (LBE), will build a coal-fired power plant worth US$1

billion or RM3.19 billion in Banten, Indonesia.



The project entails financing, design, procurement, construction,

commissioning, operations and maintenance of the plant, with 660MW gross generating capacity



"The Banten Plant is expected to commence commercial operations in
2017," it said in an announcement to Bursa Malaysia. The plant will be
developed and operated on a build, own, operate and transfer basis.




LBE is a 95 per cent-owned unit of Lestari Listrik Pte
Ltd (LL), which in turn is an indirect wholly-owned unit of Genting.
The remaining five per cent equity in LBE is held by PT Hero Inti
Pratama (Hero), LL's local partner.


Genting said LBE signed a 25-year power purchase agreement today
with PT PLN (Persero), Indonesia's state-owned electricity company, to
develop the plant.



Up to 75 per cent of the cost to be financed via non-recourse debt
to be taken by LBE and the balance to be financed via equity injections
and shareholders' loans from LL and Hero. -- Bernama