South Korea and Indonesia Sign Power Deal

Seven energy projects will be developed in Indonesia following the signing of a $3.35bn agreement with South Korea.

Indonesia's state-owned Pertamina and the Korean National Oil Co. will now cooperate on oil and gas exploration and production.

The accords were signed by Indonesian Mines and Energy Minister Purnomo Yusgiantoro and his South Korean counterpart Kim Yong Ju.

Korea Hydro and Nuclear Power Co will develop a nuclear power plant in Indonesia while Korea Gas Corp will jointly develop a liquefied natural gas terminal and undertake natural gas exploration and production projects with Pertamina. Pertamina will also join forces with South Korea's Energy First Corp to develop a liquefied petroleum gas plant in southern Sumatra.

Korea Western Power Coal LPG will develop the 400MW Bangko Barat power plant in Sumatra, as well as a 750MW power plant in Bojonagara, East Java. Korea Electric Power Corp will invest in a direct coal liquefaction project in Indonesia.