Signing of MoU between Pertamina Geothermal Energy and Sinopec Star

PT Pertamina Geothermal Energy Tbk (PGEO) has partnered with Sinopec Star Co., Ltd. (Sinopec Star), a subsidiary of China Petrochemical Corporation (Sinopec Group), to advance collaboration in geothermal energy development and utilization.

The signed agreement covers both direct and indirect geothermal energy applications, as well as opportunities in green hydrogen development across Indonesia, China, and other potential global markets.

Sinopec Star brings expertise in medium- and low-temperature geothermal utilization for district heating and has experience in hydrogen plant development. The first geothermal power demonstration project of Sinopec Star recently started supplying electricity to the grid in Xianyang City in Shaanxi Province, China.

Meanwhile, PGEO has extensive experience in high-temperature geothermal energy utilization for electricity generation in Indonesia. By combining their competitive advantages, both companies aim to capitalize on cascading energy applications and explore opportunities beyond conventional energy use. PGEO had been spearheading a campaign of “Geothermal Beyond Energy” with applications in agriculture, such as the production of fertilizer and the use of heat for coffee drying.

Additionally, this partnership will facilitate the exchange of technical expertise, best practices, and operational insights to enhance geothermal engineering and technology advancements.

President Director of PGE Julfi Hadi emphasized “This collaboration aligns with PGE’s strategy to maximize geothermal potential and contribute to Indonesia’s clean energy transition. By leveraging our expertise, we aim to accelerate development and drive innovation in geothermal energy.”

President of Sinopec Star Fan Chuanhong said “Geothermal energy is a key pillar of Sinopec Star’s renewable energy portfolio. This partnership enables us to share expertise, advances technology, and contribute to sustainable energy development in Indonesia and beyond.”

The signing ceremony was held at Sinopec Star’s headquarter in Beijing. Before signing, both teams visited Sinopec Star’s geothermal facility in Xiong’an New Area, China. This MoU underscores both companies’ commitment to strengthening Indonesia-China cooperation in renewable energy and advancing geothermal energy as a key driver of the global energy transition.