Sembcorp Industries (Sembcorp) through its wholly-owned subsidiary, Sembcorp Utilities Pte Ltd, and PT PLN Energi Primer Indonesia (PT PLN EPI), a sub-holding company of PT PLN (Persero), have entered into a joint development agreement (JDA) for a green hydrogen production facility in Sumatra, Indonesia, capable of producing 100,000 metric tonnes per annum, according to Sembcorp's release.
The project is poised to become Southeast Asia’s largest green hydrogen development initiative, with the goal of creating a regional green hydrogen hub connecting Sumatra, the Riau Islands, and Singapore.
The JDA, signed today at the Singapore International Energy Week 2024, builds on the joint development study agreement between the two companies, which was announced on October 24, 2023. The first phase of the feasibility study, which focused on site selection, risk assessments, mitigation analysis and technical schematic development, has been successfully completed.
Sembcorp and PT PLN EPI will now progress to the next phase of development, which involves detailed engineering and commercial structuring of the project.