OREANDA-NEWS. December 21, 2012. Sumitomo Corporation (Head Office: Chuo-ku, Tokyo; President and CEO: Kuniharu Nakamura) has won a bid for a complete set of coal-fired power generation facilities (30,000kW x 2 units) on an EPC (Engineering, Procurement, Construction) basis from a leading Indonesian state-run mining and metals company, PT Antam (Persero) Tbk (Head Office: Indonesia; CEO: Alwinsyah Lubis).

Antam has been engaged in the refining business of nickel in Pomalaa in the southeastern area of Sulawesi Island, Indonesia since the 1970s. According to the expansion plans of the plant, the company will newly construct a complete set of coal-fired power generation facilities utilizing circulating fluidized bed (CFB*) boilers. Sumitomo Corporation won the bid through an international bidding process and will undertake the construction of the power generation plant in December 2012as an EPC contractor. The value of construction orders received is approximately 12 billion yen, and construction is planned to be completed by June 2015. 

CFB boilers can utilize low-grade coal, which accounts for a majority of coal reserves in Indonesia but has not yet been employed much to date, for fuel. Thus, it is expected that this will promote the development of low-grade coal in Indonesia, which will contribute to the efficient development of natural resources and new power sources.   

The power generation equipment including the CFB boilers that will be employed in this project will be delivered by Sumitomo Heavy Industries, Ltd., an experienced and leading company in the field of power generation facilities. 

Sumitomo Corporation now has over 10,000 megawatts of electric power generation capacity in Indonesia in which it has engaged in construction and delivery of equipment. This amounts to about 25% of the country's power supply capability, and shows that Sumitomo Corporation has achieved solid performance in Indonesia.

 Sumitomo Corporation will endeavor to complete this construction project smoothly and aims to actively work on coal-fired power generation plant projects that employ similar CFB boilers in Indonesia, to make further contributions in improving the supply-demand balance of electrical power in Indonesia.

Note: CFB boiler: Circulating fluidized bed boiler. Capable of burning low-grade coal and biomass fuel that are generally considered unsuitable for the purpose of power generation.