Chevron, Mubadala to Explore Geothermal Potential in Indonesia

Mubadala Energy, Chevron New Energies International and PT Pertamina Geothermal Energy Tbk (PGE) have signed a joint study agreement (JSA) to explore the geothermal potential in Kotamobagu, North Sulawesi, Indonesia.

The JSA was signed during Indonesia President Joko Widodo’s visit to the United States, Mubadala Energy said in a media release.

The JSA aims to capitalize on the companies’ complementary strengths and experience. It will bring together PGE’s experience and scale as the largest geothermal producing company and capacity holder in Indonesia, Chevron’s expansive capabilities as a multinational energy company committed to providing reliable and cleaner energy and Mubadala Energy’s track record in delivering reliable and efficient energy to Indonesia and commitment to playing an active role in the energy transition as an international energy leader, Mubadala Energy said.

The agreement provides a comprehensive framework to conduct a joint study into developing the Kotamobagu Geothermal Working Area (WKP). Mubadala Energy said that the agreement is aligned with the government of Indonesia’s recent announcements targeting the addition of 3.3 gigawatts (GW) of installed geothermal capacity by 2030.

Geothermal electricity produced in Kotamobagu may provide a clean energy source to feed the domestic market in Indonesia and potentially an input to produce low-carbon hydrogen or ammonia, Mubadala Energy said.

WKP Kotamobagu was assigned to PGE Kotamobagu as a subsidiary of PT Pertamina Geothermal Energy based on a decree of the Minister of Energy and Mineral Resources. WKP Kotamobagu is an area that has a high enthalpy value with a volcanic hydrothermal system located in North Sulawesi Province with an area of 18,530 hectares, the press release noted.

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