PT Supreme Energy Muara Laboh (SEML) has formalized a Power Purchase Agreement (PPA) Amendment with Indonesia's state-owned electricity distributor, PT PLN (Persero), to advance the development of Units 2 and 3 at the Muara Laboh Geothermal Power Plant, situated in Solok Selatan Regency, West Sumatra. This strategic expansion is set to bolster Indonesia's renewable energy capacity, aligning with national objectives for sustainable growth and emission reductions.

The expansion plan details the addition of two units: an 80-MW Unit 2, targeted for commercial operation in early 2027, and a 60-MW Unit 3, anticipated to commence by 2033. These developments will augment the plant's total capacity, which currently stands at 85 MW following its initial phase that began operations in December 2019.

The enhanced capacity is projected to supply electricity to approximately 760,000 households connected to the Sumatra grid, significantly contributing to the region's energy needs. Moreover, this expansion is expected to reduce carbon dioxide emissions by about 900,000 tons annually, supporting Indonesia's commitment to achieving net-zero emissions by 2060. The construction phase is also poised to generate employment for around 1,500 individuals, stimulating local and regional economic growth through job creation and subsequent royalty and production bonus payments to local governments.

SEML operates as a joint venture comprising PT Supreme Energy Sumatera, Sumitomo Corporation, and INPEX Geothermal Ltd. The successful signing of the PPA Amendment was facilitated by the approval of tariff adjustments from the Minister of Energy and Mineral Resources and a consent letter from the Minister of Finance, ensuring all prerequisites were met for formalization.

Supramu Santosa, Founder and Chairman of PT Supreme Energy, emphasized the significance of this development, stating, "The development of Units 2 and 3 of the Muara Laboh Geothermal Power Plant, which requires an investment of USD 900 million, demonstrates the strong commitment of Supreme Energy and its international partners to advancing geothermal energy in Indonesia." This initiative is in harmony with the Indonesian government's renewable energy targets and long-term emission reduction strategies.

Beyond Muara Laboh, PT Supreme Energy has successfully developed the Rantau Dedap Geothermal Power Plant in South Sumatra, boasting a capacity of 91.2 MW, which achieved commercial operation on December 26, 2021. This project was executed by PT Supreme Energy Rantau Dedap (SERD), a collaboration involving PT Supreme Energy Sriwijaya, Marubeni Corporation, Tohoku Electric, INPEX Geothermal Ltd., and PT Energia Prima Nusantara.

Additionally, through PT Supreme Energy Rajabasa (SERB), a joint venture between PT Supreme Energy Lampung, Sumitomo Corporation, and INPEX Geothermal Ltd., the company is preparing to initiate exploration activities in the Rajabasa Geothermal Working Area located in Lampung Selatan Regency, Lampung Province. Exploration efforts are slated to commence following the completion of the PPA extension with PT PLN (Persero).

These strategic expansions underscore PT Supreme Energy's unwavering commitment to enhancing Indonesia's renewable energy landscape, fostering economic development, and contributing to global environmental sustainability efforts.