Eric Watkins
Senior Correspondent
LOS ANGELES, Aug 17 -- Major Japanese firms are expected to sign agreements for projects involving power generation and energy development in Indonesia. The signings will coincide with a visit to Jakarta by Japanese Prime Minister Shinzo Abe on Aug 20.
Mitsubishi Corp. plans to join with Indonesian state oil company PT Pertamina in the construction of a $1 billion natural gas liquefaction plant in Sulawesi aimed at producing 2 million tonnes/year of LNG as early as 2010.
In Sumatra, Sojitz Corp. and Kobe Steel Ltd. are considering feasibility studies with an unnamed Indonesian partner on liquefying coal to produce petroleum products, while Itochu Corp. and Kyushu Electric Power Co. expect to build an $800 million geothermal power facility in Sarulla in northern Sumatra by 2012.
Mitsui & Co. plans a $1 billion expansion project at a fossil fuel power plant in Paiton in eastern Java, while Marubeni Corp. expects to invest $750 million to build a fossil fuel power plant in Cirebon with operations to begin in 2011.
Contact Eric Watkins at [email protected].