Indonesia, Turkey Ink Geothermal Agreement

TEMPO.CO, Jakarta - Indonesia's Pertamina subsidiary Pertamina Geothermal Energy (PGE) signed a Confidentiality Agreement (CA) with the Turkish energy company, Kipa Holding, on Saturday, February 3, 2024. Both energy companies agreed to initiate cooperation in the geothermal energy sector.

The agreement was signed by Julfi Hadi, the CEO of PGE, and Mehmet Sisman from GM Kipa Holding, witnessed by the Indonesian Ambassador to Turkey, Achmad Rizal Purnama, in Istanbul.

"For almost four months, we have been seriously exploring economic cooperation opportunities in the energy sector, and today that hard work has paid off," Ambassador Rizal said during the signing.

The Indonesian Embassy in Ankara had facilitated PGE's efforts to explore the potential for geothermal exploration and operations cooperation, Ambassador Rizal explained.

In previous initial meetings, PGE and Kipa Holding expressed interest in collaborating on exploration in both Turkey and Indonesia, even opening the possibility for joint investment in a third country.

In addition to Kipa Holding, the embassy also facilitated PGE's meeting with several other energy companies. "In PGE's visit to Turkey this time, we also met with several top energy companies, engaging in lengthy discussions in each meeting. Hopefully, in the near future, we can find one or two more potential partners for investment in Turkey," explained Julfi Hadi.

After establishing cooperation with Kenya, PGE continues to build cooperation with Turkey. The main consideration is the relatively significant potential for geothermal energy in Turkey. As the fourth-ranked country in the world with the largest geothermal potential, Turkey is appealing to investors due to its feed-in-tariff policy.

Ambassador Rizal also emphasized energy cooperation as one of the 4+1 priority missions as the Indonesian Ambassador to President Recep Tayyip Erdogan of Turkey, which includes Defense, Energy, Construction and Health, and Trade. 

KEMLU.GO.ID

Editor's Choice: 25 Best Islands in the World for Holidays in 2024, Bali Included

Click here to get the latest news updates from Tempo on Google News