South Korea’s largest power plant equipment maker Doosan Heavy Industries & Construction Co. has received a go-ahead to refurbish Muara Tawar power plant from Indonesia’s state-owned utility company PT Perusahaan Listrik Negara (PLN).

The Korean company in March clinched a 470 billion won ($420 million) deal to upgrade the Muara Tawar power plant for Indonesia’s state-owned PLN. The state utility firm issued a notice to proceed with the construction upon raising the financing for the project.

Doosan Heavy will receive advance payment 45 billion won by next month.

Shares of Doosan Heavy Tuesday ended 0.57 percent down at 17,500 won from the previous session.

The project picked up after South Korean President Moon Jae-in raised the issue during his visit to Indonesia last week. The Muara Tawar power plant is located around 40 kilometers east of its capital Jakarta. The project aims to add eight units of heat recovery steam generators and three units of steam turbines to upscale the existing 1150-megawatt gas-fired power plant to an 1800-megawatt combined cycle power plant.

Doosan Heavy is also engaged in another upgrade work with Grati gas-fired power plant in Indonesia since it won the deal in December, 2016. Before that, it completed the construction of a 660-megawatt coal-fired power plant in Cirebon in 2012.

By Moon Ji-woong and Lee Ha-yeon

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