MEDCO POWER INDONESIA

Corporate Preview
Pameran Kelistrikan Indonesia 2013
Grand City Surabaya, 24 Oktober 2013

Indonesia is looking to increase its electrification ratio from 74.4% in 2012 (245.1 million
population) to 92.3% in 2021 (283.2 million population)

Kalimantan:
Annual electrification
ratio growth: 2.4 %
however still
dominated by rented
generators

Sumatra:
*Annual
electrification
ratio growth:
2.5%

Sulawesi:
Annual electrification
ratio growth: 2.6 %
however still
dominated by rented
generators

Country Fact :
Electricity Sales in TWh

East Indonesia: Annual electrification

ratio growth: 2.7%
capacity increase is hindered by
geographical and infrastructure
barriers

Total installed Capacity: 34,275

MW*, 78% of which is located in
Java Bali supply area.
Approximately 15% of the
current installed capacity is
supplied through IPP.

Java Bali:
Annual
electrification
ratio growth:
1.2 %

*Actual Electrification Ratio Growth 2007 - 2011

Electricity
Consumption
Per Capita
(Kwh/capita)

Country

Electrification
Rate

Unelectrified
Population
(million)

Indonesia

74.4%

62.4

507

Philippines

89.7%

9.5

524

Vietnam

97.3%

2.1

1,104

Thailand

99.3%

0.5

1,962

Malaysia

99.4%

0.2

3,215

Energy Demand Projection (in TWh)

An additional
57,250MW capacity
needs to be available
by 2021.
Approximately
27,130MW or 47.4%
of the planned
additional capacity
will be made through
2
IPP scheme.
Source: RUPTL PLN 2012 - 2021

The government targeted power generation using oil-based fuel to reduce significantly
from 15% in 2012 to less than 1% in 2021.

2021 Targeted Fuel Mix

2012 Existing Fuel Mix

Dependence in coal-based
generation increased from 51%
to 63% in 2021.
However, PLNs RUPTL highlights
that new capacity addition will
be using ultra-supercritical
generation technology (smaller
size, less CO emission)

Total Gwh 199,130

Significant focus of renewablebased capacity addition is in

hydro (mini-hydro generation) and
geothermal.

Total Gwh 411,162

Indonesia Fuel Reserve Outlook:

1. Coal: 21.1 billion ton reported reserve which with current rate of annual production (400mio ton/year) is estimated to
be depleted in 50 years. Future capacity addition will explore construction near mining facilities (mine-mouth), enabling
use of low-rank coals (amounting to to 22% of the reported reserve); currently wasted as it is inefficient to distribute
considering its low sales value.
2. Natural Gas: 164.99 Tscf reserve (32% in Natuna islands).
3. Geothermal: Exploration potential approximately 9,000 MW. PLN has placed approximately 4,000MW geothermalbased generation in its long term planning in accordance to Presidential decree 4/2010.
4. Hydro power: Potential generation capacity 26,321 MW with 4,338 MW already installed in 2012.
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*ministry of energy and mineral resources, 2012

MPI Business Overview

Thermal
Energy
Electricity
Generation

Renewable
Energy
Electricity
Generation

Power Plant
Services

EPC
O&M
Rental Services

Business Strategy:
Focus on small and medium power plants (<100MW)
Building critical mass through acquisition of brownfield projects or distressed projects
Stay committed to clean power platform unique market for Indonesia
Capture low hanging fruit in EPC and O&M projects for light-assets business
Western Indonesia centric

Abundant of raw materials (gas and geothermal)

Economics of scale

High population density

Portfolio: Power Plant Operation

Mitra Energi Batam (MEB)

PPA to Q4-2034
55 MW Natural-gas-fueled
Simple Cycle

Dalle Energy Batam (DEB)

PPA to Q1-2025
82 MW Natural-gas-fueled
Combined Cycle

TM 2500, Batam
PPA to Q1-2025
20 MW Natural-gas-fueled

Energi Prima Elektrika (EPE)

PPA to Q3-2026
12 MW Natural-gas-fueled

Multidaya Prima Elektrindo

(MPE) - PPA to Q3-2028
12 MW Natural-gas-fueled

Singa
PPA to Q2-2015
6 MW Natural-gas-fueled

Portfolio: Power Plant Services

Operation & Maintenance
Tanjung Jati B Power Services
Jepara, Central Java

PLTMG Panaran
Batam Island

Contract to Q4 2026
Coal-fuel 2 x 660 MW

Contract to Q3 2015
Gas fuel 3 x 8 MW

Engineering, Procurement and Construction

Sicanang, North Sumatra

PLN Sumbagut - COD Mar
2010
120 MW Cap

The Energy, Jakarta

Api Meta Graha - COD Mar
2010
8 MW Cap

Glugur, North Sumatra

PLN Sumbagut - COD April
2010
13 MW Cap

PLTMG Panaran, Batam

Island
6
PLN Batam - COD Nov
2012
25 MW Cap

By 2014, MPI will add 100MW in capacity to Batam area. MPI is currently
supplying 57% of PLNBs supply from IPP (157MW capacity)
MITRA ENERGI BATAM Chiller CCPP Project (Batam)

Additional 30MW to current 55MW capacity in MEB. The capacity

increase will lock MPIs spot as the biggest IPP supplier for PLN-Batam.

Electrical building
CCPP

Status: 8MW (chiller) have reached commercial operation in October.

Combine cycle project (22 MW) has reached 48% progress and
expected to start operation in Q4 2014
Chiller

UBE Simple Cycle Power Plant

Scheduled to start operations in simple cycle mode within the 4th quarter
of 2014. The 70MW capacity plant is planned to increase Batam's
power generation capacity by 20percent.
Status: Simple cycle construction has reached 20%.

Generator foundation

GTG engine

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*PLNBs current capacity supply from IPP: 274.3MW (PLNB website)

In 2013, MPI commits to secure 50 MW generation capacity in hydro-based

generation.
CIBALAPULANG 1

PUSAKA PARAHIANGAN
Capacity
Location
PPA Signed

Waterway

Mechanical works near completion,

civil works approaching 70%,
expected to start operation in Dec
2013

CIBALAPULANG 2 & 3

Cibalapulang River

Capacity
Location
PPA Signed

: 9 MW
: West Java
: February 2012

Cibuni River

: 12 MW
: West Java
: Sept 2013

Construction to start within this

year and expected to start the
commercial operation in mid of
2015

RONGKONG - BALIASE
Capacity
: 13 MW
Location
: West Java
PPA Signed : July 2013

Capacity
: 17 MW
Location
: South Sulawesi
Target COD : Q4 2015

Construction to start within this year

and expected to start the commercial
operation in mid of 2015

Construction to start in early 2014

and
expected
to
start
the
commercial operation at the end of
2015
Rongkong River
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MPI currently is the single owner of 110MW Ijen project and is part of a consortium
for Sarulla project, the largest single contract geothermal power project in
Indonesia.
SARULLA Geothermal

IJEN Geothermal
Capacity :
3 x 110 MW
Location:
Sarulla, North Sumatra
Target COD :
Unit #1 : Q3 2016
Unit #2 : Q2 2017
Unit #3 : Q4 2017

Capacity :
2 x 55 MW
Location :
Ijen, East Java
Target COD :
Q2 2018

Currently in the financial

closing
process
and
expected to be completed
in early 2014.
Bleeding test

Infrastructure site survey

First stage drilling will

target
four
well-pad
locations.
Infrastructure
construction
and
procurement for drilling
expected to start in
November, targeting first
drilling activity in Q3 2014.

MPI Consolidation Financial Highlights (YTD August, in IDR bio)

BALANCE SHEET

PROFIT & LOSS

2013

2013

2012

Cash & Cash Equivalent

516.0

714.1

338.3

259.9

2012

Financial Indicators
Revenue

608.1

588.6

Current Asset

Gross Profit

187.6

178.9

Fixed Asset

1,196.1

1,159.2

70.5

47.3

Other Asset

398.6

266.2

Operating Profit

2,449.0

2,399.4

Income Before Tax

130.9

34.3

252.6

Net Profit / (Loss)

17.0

Current Liabilities

258.6

81.0

LTD

440.0

521.1

EBITDA

129.6

Other Liabilities

98.3

53.8

1,652.1

1,571.8

2,449.0

2,399.4

ROE

3.8%
5.8%

1.4%
2.2%

EBITDA margin

21%

18%

Net profit Margin

13%

3%
10

107.5

TOTAL ASSET

Equity
CASH-FLOW

Cash-flow from operation

Cash-flow from investment
Cash-flow from financing

(86.9)

369.2

125.8

23.5

(166.4)

(29.7)

(46.2)

375.4

TOTAL LIAB & EQUITY

ROA

Financial Projections
Revenue in billion IDR

Net income in billion IDR

EBITDA in billion IDR

Additional 150 MW by 2016:

Asset

Capacity Addition

COD

8MW

Oct 13

Cibala1 mini hydro

MEB CCPP
UBE SCPP

9 MW
22 MW
70 MW

Q4 13
Q4 14
Q4 14

Pusaka mini hydro

12 MW

Q2 15

Cibala 2-3 mini hydro

13 MW

Q2 15

Rongkong Baliase

17 MW

Q4 15

MEB chiller

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Thank You

Thank You
Thank You
Presented
by: Medco Power Indonesia October 2013

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