KS ORKA to mobilize two drilling rigs to Sorik Marapi 240 MW Geothermal Project

Jakarta, INDONESIA, 10 August 2016 – KS Orka Renewables Pte Ltd of Singapore (KS ORKA) is mobilising two drilling rigs to accelerate the development of the 240 MW Sorik Marapi Geothermal Power Project North Sumatra Indonesia, after it secured the necessary regulatory consents.

KS Orka has already mobilized the first drilling rig for the project by issuing a Notice To Proceed to the drilling contractor Dati Parker. KS Orka plans to mobilize a second rig within two weeks for the project. The KS Orka team aims for bringing the first pilot power plant into operation in 2017.

Eirikur Bragason, KS ORKA’s CEO, said, “With this milestone we can now focus on developing the project. KS Orka aims to be the leading global developer and operator of geothermal projects. KS Orka has prioritised investments in Indonesia and is targeting development of 500MW of power generation capacity over the next five years, which would involve an investment of at least US$ 2 billion. The Sorik Marapi Project is an important first step towards achieving this goal.”

The government program of target of 35,000 MW of power has proclaimed geothermal as a clean and renewable energy is one source of energy to support the achievement. Indonesia with great potential for geothermal energy, which is about 40 percent of the world’s geothermal potential, is targeting the development of geothermal energy by 7000 MW by 2025.

Eirikur Bragason, KS ORKA’s CEO, said, “KS Orka management team has extensive experience in developing geothermal projects in many places in the world without damaging the environment. One of the shareholder companies, Hugar Orka, is an Icelandic company experienced in developing geothermal in Iceland. Iceland is one of the countries utilizing renewable power source, such as hydro and geothermal power, as the country’s power supply.”

About the Acquisition:
KS Orka Renewables Pte Ltd of Singapore (KS ORKA) signed an agreement to acquire 100% of OTP Geothermal Pte Ltd (OTP) from Origin Energy Geothermal Singapore Pte Ltd (Origin Energy) and Tata Power International Pte Ltd (Tata Power) in April 2016.
OTP, a joint venture between Origin Energy and Tata Power, holds a 95 percent interest in Indonesia’s PT Sorik Marapi Geothermal Power (SMGP). SMGP is currently developing the 240 MW Sorik Marapi Geothermal Power Project in North Sumatra Indonesia
About KS Orka
KS Orka is a joint venture between Hugar Orka ehf, an Icelandic company and Zhejiang Kaishan Compressor Co., Ltd (Kaishan), which is listed on the Shenzhen stock exchange. KS Orka combines Hugar Orka’s geothermal and project development expertise with Kaishan’s power plant technology and manufacturing expertise to form Asia’s only vertically integrated geothermal and waste energy company. KS Orka brings to the project some of the most experienced geothermal experts and power project developers in the world. (http://ksorka.com/)