Three geothermal power plant projects under PT Pertamina Geothermal Energy (PGE) have been included in Indonesia's National Development Planning Agency's "2026 Overseas Priority Loan Project List (Green Book 2026)", securing a total of $477.87 million in international financing. The three projects are two 55 MW units (Units 3 and 4) at the Lumut Balai geothermal plant and two units (Units 7 and 8) totaling 50 MW at the Lahendong geothermal plant.
PGE's president stated that the inclusion in the list not only recognizes the project preparation efforts but also reflects investors' trust in the company's strength. In the first quarter of 2026, PGE's net profit reached $43.9 million, up 40% year-on-year, further boosting investor confidence.
After being included in the list, the projects can smoothly access diverse international funds, enhancing the company's influence among global partners and financing institutions. The financing sources and plans are clear: Unit 3 of Lumut Balai is scheduled for commercial operation in 2030, receiving a $158.86 million loan from JICA; Unit 4 in the same area is expected to operate by 2032, also funded by JICA with $148.97 million; Units 7 and 8 of Lahendong are set for commissioning in 2030, securing $170.04 million from the World Bank.
These funds are concessional loans in the form of on-lending, featuring low interest rates and long tenors, which can optimize the company's financing structure, control borrowing costs, and effectively improve project economic returns.
Previously, the three projects had been included in Indonesia's "2025-2029 Medium-Term Overseas Loan List", and their technical, financial, environmental, and supporting facilities have passed rigorous reviews. Moreover, these three projects are key components of PGE's overall plan to expand its total geothermal installed capacity to 3 GW.
From an industrial layout and regional benefit perspective, the two Lumut Balai units are located in South Sumatra Province, further expanding the company's geothermal footprint in Sumatra. The Lahendong project in North Sulawesi Province, once operational, will increase the local geothermal power supply share from about 30% to 35%-40%.
Upon completion of all projects, they will significantly boost low-carbon electricity supply, supporting Indonesia's steady progress in its energy transition strategy and continuously improving the national clean energy structure.
Three geothermal power plant projects under PT Pertamina Geothermal Energy (PGE) have been included in Indonesia's National Development Planning Agency's "2026 Overseas Priority Loan Project List (Green Book 2026)", securing a total of $477.87 million in international financing. The three projects are two 55 MW units (Units 3 and 4) at the Lumut Balai geothermal plant and two units (Units 7 and 8) totaling 50 MW at the Lahendong geothermal plant.
PGE's president stated that the inclusion in the list not only recognizes the project preparation efforts but also reflects investors' trust in the company's strength. In the first quarter of 2026, PGE's net profit reached $43.9 million, up 40% year-on-year, further boosting investor confidence.
After being included in the list, the projects can smoothly access diverse international funds, enhancing the company's influence among global partners and financing institutions. The financing sources and plans are clear: Unit 3 of Lumut Balai is scheduled for commercial operation in 2030, receiving a $158.86 million loan from JICA; Unit 4 in the same area is expected to operate by 2032, also funded by JICA with $148.97 million; Units 7 and 8 of Lahendong are set for commissioning in 2030, securing $170.04 million from the World Bank.
These funds are concessional loans in the form of on-lending, featuring low interest rates and long tenors, which can optimize the company's financing structure, control borrowing costs, and effectively improve project economic returns.
Previously, the three projects had been included in Indonesia's "2025-2029 Medium-Term Overseas Loan List", and their technical, financial, environmental, and supporting facilities have passed rigorous reviews. Moreover, these three projects are key components of PGE's overall plan to expand its total geothermal installed capacity to 3 GW.
From an industrial layout and regional benefit perspective, the two Lumut Balai units are located in South Sumatra Province, further expanding the company's geothermal footprint in Sumatra. The Lahendong project in North Sulawesi Province, once operational, will increase the local geothermal power supply share from about 30% to 35%-40%.
Upon completion of all projects, they will significantly boost low-carbon electricity supply, supporting Indonesia's steady progress in its energy transition strategy and continuously improving the national clean energy structure.
