JAKARTA (Yosefardi) – State coal producer PT Tambang Batubara Bukit Asam Tbk (PTBA) allocates US$2.1 billion for investment until 2017, to fund the coal expansion and power plant project.

The company sets capital expenditure (capex) of US$500-600 million for this year. In 2017, the capex is set for US$700-800 million.

PTBA will start the construction of coal-fired power plant (PLTU) Banko Tengah with capacity of 2×620 megawatts (MW), called as Sumsel 8, by late this year. The project is located in mine mouth of Tanjung Enim, South Sumatera, with investment cost of US$1.59 billion.

PTBA with its partners (6 companies) prepares to work on new project, PLTU Sumsel 9 with capacity of 2×600 MW and PLTU Sumsel 10 with capacity of 1×600 MW. The investment of PLTU Sumsel 9 and 10 reaches US$2.16 billion.