GMC 0.00% 0.6¢ gulf manganese corporation limited

Ann: Gulf Signs Power Purchase Agreement, page-8

  1. 12,187 Posts.
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    You'd better read the announcement again, as you are incorrect. It says "up to 20,000 kVA to the Kupang site"

    "Under the contract, PT PLN has agreed to provide continuous electrical power of up to 20,000 kVA to the Kupang site,"

    Nowhere in the announcement does it mention minimum 20,000 KVA .

    "Gulf Mangan Grup (“PT Gulf”) has signed a five-year agreement with national power provider PT PLN (Persero) Wilayah NTT (“PT PLN”) for the supply of 20 MVA power to the Kupang Smelting Hub Facility Site."

    The announcement only states the minimum number of hours that power has to be paid for, ie it has to be paid even if  it isn't used.

    "Both parties have agreed on the minimum hours of electricity usage per month based on a minimum payment of 40 hours per month (first 2 years); and a minimim of 200 hours per month (remaining 3 years)."

    Yes, they can use the 20,000KVA for more than 40 hours but it must pay for the minimum which is US$80,000 /month for the first 2 years and US$400,000/month for the remaining 3 years. The quantity of power being supplied is 20,000 KVA regardless of the amount of hours its used.
    Just for comparison OM Sarawak uses 500,000 KVA  x  720 hrs/month
    Last edited by rocket973: 07/05/18
 
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