AG&P Group subsidiary Atlantic, Gulf and Pacific Company of Manila Inc. (AG&P Industrial) has been tapped as the main contractor and technical lead, in partnership with Royal Eijkelkamp BV of the Netherlands for the joint development of geothermal and other infrastructure projects across Indonesia.
In a statement on Tuesday, the Batangas-based engineering firm AG&P Industrial said it has signed an exclusive memorandum of understanding (MoU) with Royal Eijkelkamp, known for its durable, handcrafted equipment and smart solutions for soil and water research, monitoring, and sampling worldwide.
“AG&P will serve as main contractor, in partnership with Royal Eijkelkamp. This is a general partnership which will be applied for each project. No estimates yet,” Alex Gamboa, AG&P Industrial president and managing director of Global Business Development, as well as chief executive officer of AG&P Americas, said in a text message on Wednesday.
The MOU was signed during the economic mission hosted by the Embassy of the Kingdom of Netherlands on June 16 in Jakarta, Indonesia, the statement said.
Under the MOU, the two companies will work together in business development, marketing and communication, tender participation, estimation, contracting, and execution in support of the Indonesian government’s vision of accelerating the development of clean and renewable energy sources in the country.
AG&P Industrial said Indonesia’s current energy mix is dominated by fossil fuels, with a growing emphasis on renewable energy sources including hydro, geothermal, solar and wind, accounting for around 12 percent of the national mix.
The country aims to increase its share of renewables to 23 percent by 2025 and achieve net-zero emissions by 2060, AG&P Industrial added.
“Our partnership with Royal Eijkelkamp solidifies our commitment to driving clean energy development across Southeast Asia,” Gamboa said in the statement. “Indonesia holds a tremendous geothermal potential, and we are eager to contribute to meeting the Indonesian government’s energy transition targets by bringing our innovative and scalable solutions prioritizing sustainability, efficiency, and long- term value.”
AG&P Industrials said the MOU builds upon an earlier agreement among AG&P Industrial, Royal Eijkelkamp, and other partners for the exploration, development, and management of geothermal resources to promote sustainable utilization of geothermal energy in the Philippines and neighboring regions.
AG&P Industrials said Royal Eijkelkamp is among a select group of Dutch companies honored with the ‘Royal’ designation by the King of Netherlands for firms that are at least 100 years old, have prestige and take a prominent position in its field. AG&P Industrial Manila is a diversified full-asset lifecycle engineering, procurement, fabrication, construction, installation and commissioning (EPFCIC), infrastructure development, and operations and maintenance (O&M) company that has executed marquee projects globally for LNG terminals, refineries, petrochemical plants, utilities, LNG liquefaction modules and other complex process units.
