Permana informed that the company had signed a memorandum of understanding with Rak Minerals & Metal Investments, a Middle East company to construct the coal fired power plant. He continued that the power plant would generate 1,250 megawatt (MW) of power annually. The construction of the power facility is expected to begin in 2010 and would be completed by 2013.
The company is also planning to construct an aluminum smelter along with the coal-fired power plant. The construction of the smelter was also allocated to Rak Minerals & Metal Investments. The smelter is expected to produce 500,000 tons of aluminum annually. The construction of the smelter would start in 2010 and expected to be completed by 2013.
The company plans to build both the aluminum smelter and a power plant in South Sumatra and the combined project is valued at $4 billion.
