(Yicai Global) May 24 -- China Gezhouba Group will build a hydropower plant in Indonesia with a contract value of USD1.5 billion.
The project will take five years to complete, the firm announced late yesterday.
The Wuhan, Hubei province-based group recently penned an agreement for the plant with the Indonesian project owner, the announcement said. The plant is designed for an installed capacity of 1,000 megawatts, and the firm will oversee the facility's design, purchasing, construction, equipment debugging and pilot operation.
The Kayan River flows through North Kalimantan province on Indonesia's -- and Asia's -- largest island of Borneo. The Kayan cascade hydropower station is a key national-level energy project. Its construction will unfold in five stages. It will have a total installed capacity of 9,000MW on completion and require overall investment of USD17.8 billion.
Beijing-based electrical engineering construction contractor Power Construction Corp. of China contracted to build another stage of the plant in November. Total installed capacity of that phase is 900MW.
Gezhouba is a large Chinese hydroelectric builder that has taken on many big projects, among them the Three Gorges Hydropower Station, the world's largest such plant.
Editor: Ben Armour