- Sumitomo Corp plans to increase its shares in the Muara Laboh geothermal project.
- It plans a 15% additional acquisition.
Japenese firm Sumitomo Corp has announced its agreement to raise its shareholding in Indonesia’s Muara Laboh geothermal power project. The firm plans to acquire an additional 15 per cent of the share capital held by France’s Engie SA to 50 per cent.
According to a report by Renewables Now, the current ownership over the Muara Laboh plant, located in West Sumatra province, is shared between Sumitomo (35%), Engie (35%), Indonesian private power generation developer PT Supreme Energy and Japanese oil company INPEX Corporation. PT Supreme Energy and INPEX own a combined 30% through a joint vehicle.
Once the transaction closes, Engie will no longer own shares in the project. INPEX is set to directly acquire the remaining 20% stake from Engie as Sumitomo takes its 15%, according to the Japanese trader.
Sumitomo expects to close the transaction in 2022, once the terms and conditions set in the agreement are met.