Renewable Energy Drive & Conflicting Interests
Indonesia is under pressure to reduce its carbon emision under the Conference of Parties (COP) 21. In this context, the government has set out a plan to use more renewable and cleaner energy resources, including geothermal. Implementation, however, won’t be easy, which can be seen in the recent conflict between state-owned electricity provider PT Perusahaan Listrik Negara (PLN) and state-owned oil and gas company Pertamina.
Strategic Long-Term Support for Palm Oil
KPB Nusantara, the joint marketing office of state plantations, was forced to withdraw three out of seven CPO packages auctioned off Wednesday (Jan 6) due to low bids. The commodity continues to be under pressure from falling crude oil and soybean oil prices, despite falling output in the past few months.
2016 Targets of Bukit Asam: Overtly Optimistic?
Shares of coal producers were hammered worldwide on Monday (Jan 4) by persistent volatility in the energy market. Bukit Asam (PTBA) lost almost 5%, but recovered most of its losses Tuesday (Jan 5) morning. The state-owned coal miner sets what some believe an overtly optimistic target for 2016.
China’s Penetration in Indonesian Power Generation Industry
China dominated the first 10,000 MW power plant projects under SBY-Kalla regime, but only as engineering, procurement, and construction (EPC) contract works. Under Jokowi-Kalla’s 35,000 MW program, however, China emerged as major investor in independent power producer (IPP) projects.
BlackGold + China Huadian in Indonesia
SGX-listed BlackGold Natural Resources Limited, through its subsidiary PT Samanaka Batubara, has entered into a consortium agreement with China Huadian Engineering Co Ltd for the development of a 2×300 MW mine-mouth power plant in Riau province, Indonesia. Who’s behind?
China Shenhua Wins Jawa-7 IPP, Next?
China Shenhua Energy Co Ltd, one of the world’s largest integrated energy companies, has received a notice from PT Perusahaan Listrik Negara (PLN) that Shenhua’s consortium won the giant Jawa-7 coal-fired power plant (CFPP) project (2×1000 MW) in partnership with PT Pembangkitan Jawa Bali-Investasi, a subsidiary of PLN.
People Behind PT Enso Asia
Shareholders of ASX-listed Triangle Energy Limited have recently voted overwhelmingly for the sale to PT Enso Asia of 100% of the shares in Triangle which holds majority interest in the Pase production sharing contract (PSC) in Aceh province, Indonesia. Who’s behind PT Enso Asia?
Coal Journal: Production Cut & Acquisitions
Shares of coal producers ended mostly higher ground worldwide Thursday (Dec 24) as WTI crude oil rallied to above US$38 per barrel. Peabody Energy, the world’s largest producer in private sector, jumped 11.5% in New York, while Whitehaven Coal soared 8.7% earlier in Sydney.
Further Rally for Palm Oil?
The benchmark March 2016 contracts of crude palm oil (CPO) settled higher by RM18 to RM2486 per ton Wednesday (Dec 23) on the Bursa Malaysia Derivatives, lifted by further rally in crude oil and reports about lower CPO production from companies listed on KL Stock Exchange.
Amendment of Mining Contracts
The government has on Wednesday (Dec 23) signed amendment of mining contracts, consisted of nine contract of works (COWs) and 12 coal contract of works (CCOWs). Contractors agreed to use the prevailing laws for items related to the State revenues, except for the corporate income tax, which still use the nailed down system (30-35%).