Tommy to build power plant

JAKARTA (JP): PT Okha Hutomo Satrya and Figear Ltd., two private firms affiliated to the Humpuss Group, will build a geothermal power plant in Wayang Windu, West Java in cooperation with Asia Power of New Zealand.

Humpuss Group is controlled by President Soeharto's youngest son Hutomo (Tommy) Mandala Putra.

The power project, to cost US$800 million, is expected to start operation in the middle of 1998 with a generation capacity of 400 megawatts, Kompas daily reported yesterday.

John Whebble of Asia Power and Irwan Soegiarto, representing Okha Hutomo Satrya and Figear Ltd., signed the agreement on the project earlier this week.

After the signing ceremony, which was witnessed by visiting New Zealand Deputy Prime Minister Don Mckinnon, Whebble and Irwan said that the giant project is located in Kamojang, West Java and will be managed by Mandala Nusantara Limited, a joint venture of the three companies.

The joint venture will operate the power plant for 30 years.

The state-owned electric company, PLN, signed a purchase agreement with the private firm recently to purchase the electricity from the power plant once it begins operation.

Soegiarto noted that to finance the power project, Mandala Nusantara will acquire loans from a number of local and foreign banks, including export-import banks of Japan and the United States.

Asia Power will provide technology and equipment for the power project. (13)