Turkey’s Hitay to invest $1B in Aceh geothermal project

JAKARTA (RambuEnergy) – Turkish geothermal company Hitay Holding has expressed its seriousness to develop Gunung Geureudong (Mount Geureudong) geothermal power plant, located in Bener Meriah, Aceh with a potential installed capacity of 220 MW and estimated investment of US$1 billion.

Mount Geureudong was among geothermal power plants that are being tendered out by the energy and mineral resources ministry. The geothermal potential of the area was first surveyed by PT Jasa Daya Chevron back in 2013. However, the follow-up actions were then unheard, until Chevron pulled out from Indonesia’s geothermal sector by offloading its geothermal projects in West Java.

On Monday (01/04), Chairman of Hitay Holding Mehmed Emin Hitay met with Governor of Aceh Irwandi Yusuf to convey the company’s serious intention to invest in the geothermal project.

During the meeting, Mehmed Emin Hitay presented MoU document to develop the project. “This is our fourth visit, showing our seriousness in developing geothermal energy in Gunung Geureudong, Bener Meriah,” he said.

Hitay was accompanied by Managing Director Zulfia. He said Hitay is ready to compete with another party (KS Oko from China) which is also interested to develop the geothermal area.

Zulfia, however, expects the geothermal potential of Gunung Geureudong could reach as high as 220 MW. The total investment to develop the geothermal project is estimated to reach US$1 billion or over Rp13 trillion, he said.

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