MHPS Begins GTCC Trial Operation in Final Stage of Jawa-2 Project in Indonesia -- Natural-gas-fired GTCC Power Generation Facilities on Course toward Completion ahead of Schedule --

･ Prayer for continued safety and smooth trial operation in project's final stage
･ Full resources being focused toward early start of commercial operation and system stability thereafter

YOKOHAMA, JAPAN (February 15, 2019) - Mitsubishi Hitachi Power Systems, Ltd. (MHPS) has begun trial operation of gas turbine combined cycle (GTCC) for “Jawa-2 Project” underway by PT. PLN (Persero), Indonesia's state-owned electricity provider, at the Tanjung Priok Power Plant on Java Island. The project, to construct GTCC natural-gas-fired power generation facilities, is now in its final stage toward completion and commercial start-up this May. Prior to trial operation, a Japanese-style ceremony was conducted to pray for smooth trial operation and safe project completion. As with the earlier start-ups of Units 1 and 2 as simple cycle gas turbine systems, MHPS is now anticipating handover of the completed project ahead of schedule.

Jawa-2 is a comprehensive project to construct 880 megawatt (MW) GTCC power generating facilities in Tanjung Priok, a port city approximately 10 km northeast of central Jakarta. The full-turnkey order for the power plant's EPC (engineering, procurement and construction) was received by MHPS in partnership with Mitsubishi Corporation and local construction and engineering firm Wasa Mitra Engineering for the GTCC power generation equipment. MHPS is responsible for providing two M701F gas turbines, two exhaust heat recovery boilers, one steam turbine and auxiliary equipment. Both simple cycle systems were accomplished ahead of schedule – Unit 1 in June 2018 and Unit 2 one month after – and have already gone into commercial operation. Currently, the works are proceeding on schedule toward commercial start-up of the GTCC system. To date, since its start the Jawa-2 project has experienced no accidents or disasters, in recognition of which PLN has given MHPS formal commendation of its safety record.

In addition to Jawa-2, MHPS and Mitsubishi Corporation have jointly received a full-turnkey order for EPC on a 500 MW natural-gas-fired GTCC power plant under construction by PLN at Muara Karang near Jakarta. Installation of the power generation equipment, including an M701F gas turbine, is proceeding smoothly – here again, without accidents or disasters – toward start-up of the GTCC system in December 2019.

Indonesia is currently undertaking a large-scale thermal power expansion program centered on the West Java region around Jakarta, under a government initiative to add 35,000 MW generation capacities in order to meet surging demand for power along with the country's economic growth. Construction progress at related projects has been widely impeded, however, by impact from natural disasters. But on those projects where MHPS is participating, construction has been moving forward extremely smoothly with respect to safety, quality and construction schedule. As a result, representatives of PLN have expressed their full confidence in MHPS' work, commenting that the close relationship between PLN and MHPS, already spanning 50 years, is their assurance of full peace of mind.

The Jawa-2 Project is currently a focus of local attention as interest in Indonesia's political management capabilities intensifies ahead of the presidential election slated for April. To respond to the hopes and expectations of PLN and the Indonesian Government, MHPS will commit its full resources toward achieving an early start of commercial operation and system stability thereafter.

Going forward, MHPS will continue to target an ever greater presence within the Indonesian power market. Through the creation of highly efficient power generation facilities, the company will promote the achievement of low-carbon energy usage as a way of contributing to protection of the global environment.