Delong Nickel Phase II power station

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Delong Nickel Phase II power station is an operating power station of at least 1840-megawatts (MW) in Kendari, Southeast Sulawesi, Indonesia with multiple units, some of which are not currently operating. It is also known as 德龙镍业印尼肯达里自备电厂二期.

Location

Table 1: Project-level location details

Plant name	Location	Coordinates (WGS 84)
Delong Nickel Phase II power station	Kendari, Southeast Sulawesi, Indonesia	-3.8279104, 122.4682708 (exact)

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Unit-level coordinates (WGS 84):

• Unit 01, Unit 02, Unit 03, Unit 04: -3.8279104, 122.4682708
• Unit 05, Unit 06, Unit 07, Unit 08: -3.8282793, 122.4662306
• Unit 09, Unit 10, Unit 11: -3.8274877, 122.462752

Project Details

Table 2: Unit-level details

Unit name	Status	Fuel(s)	Capacity (MW)	Technology	Start year
Unit 01	Operating	coal: unknown	135	unknown	2020
Unit 02	Operating	coal: unknown	135	unknown	2020
Unit 03	Operating	coal: unknown	135	unknown	2020
Unit 04	Operating	coal: unknown	135	unknown	2021
Unit 05	Operating	coal: unknown	135	unknown	2021
Unit 06	Operating	coal: unknown	135	unknown	2021
Unit 07	Operating	coal: unknown	135	unknown	2021
Unit 08	Operating	coal: unknown	135	unknown	2021
Unit 09	Operating	coal: unknown	380	unknown	2022
Unit 10	Operating	coal: unknown	380	unknown	2021
Unit 11	Cancelled	coal: unknown	380	unknown	–

Table 3: Unit-level ownership and operator details

Unit name	Owner	Parent
Unit 01	PT Obsidian Stainless Steel [100%]	Xiamen Xiangyu Group Co Ltd [51.0%]; Jiangsu Delong Nickel Industry Co Ltd [49.0%]
Unit 02	PT Obsidian Stainless Steel [100%]	Xiamen Xiangyu Group Co Ltd [51.0%]; Jiangsu Delong Nickel Industry Co Ltd [49.0%]
Unit 03	PT Obsidian Stainless Steel [100%]	Xiamen Xiangyu Group Co Ltd [51.0%]; Jiangsu Delong Nickel Industry Co Ltd [49.0%]
Unit 04	PT Obsidian Stainless Steel [100%]	Xiamen Xiangyu Group Co Ltd [51.0%]; Jiangsu Delong Nickel Industry Co Ltd [49.0%]
Unit 05	PT Obsidian Stainless Steel [100%]	Xiamen Xiangyu Group Co Ltd [51.0%]; Jiangsu Delong Nickel Industry Co Ltd [49.0%]
Unit 06	PT Obsidian Stainless Steel [100%]	Xiamen Xiangyu Group Co Ltd [51.0%]; Jiangsu Delong Nickel Industry Co Ltd [49.0%]
Unit 07	PT Obsidian Stainless Steel [100%]	Xiamen Xiangyu Group Co Ltd [51.0%]; Jiangsu Delong Nickel Industry Co Ltd [49.0%]
Unit 08	PT Obsidian Stainless Steel [100%]	Xiamen Xiangyu Group Co Ltd [51.0%]; Jiangsu Delong Nickel Industry Co Ltd [49.0%]
Unit 09	PT Obsidian Stainless Steel [100%]	Xiamen Xiangyu Group Co Ltd [51.0%]; Jiangsu Delong Nickel Industry Co Ltd [49.0%]
Unit 10	PT Obsidian Stainless Steel [100%]	Xiamen Xiangyu Group Co Ltd [51.0%]; Jiangsu Delong Nickel Industry Co Ltd [49.0%]
Unit 11	PT Obsidian Stainless Steel [100%]	Xiamen Xiangyu Group Co Ltd [51.0%]; Jiangsu Delong Nickel Industry Co Ltd [49.0%]

Project-level captive use details

• Captive industry use (heat or power): power
• Captive industry: Nickel

Ownership Tree

This ownership tree is part of the Global Energy Ownership Tracker, a project of Global Energy Monitor.

Financing

• Source of financing: 2020: Chinese institutions involved in the deal were Bank of China (BOC), China Development Bank, China Construction Bank, ICBC, Agricultural Bank of China, CITIC bank, China Merchants Bank, and Tai Fung Bank. The transaction of USD 1.05bn funded a nickel mine, a 2.5 million tonne/year stainless steel smelting plant, the thermal power project and a 40 million tonnes multi-functional port. It is not known how much was attributed to the power plant.

Background on Project

In September 2017 a contract to build the plant was awarded to Zhongtian Guoneng Power Engineering. The contract period is from October 2017 through July 31, 2019. The plant would be operated PT Obsidian Stainless Steel, a joint venture of Xiamen Xiangyu Group and Jiangsu Delong Nickel Industry Co., which owns the existing Delong Nickel power station at the same location. In August 2019 it was reported that construction of the smelter would begin in October 2019. In April 2020 the smelter's first production line began to operate. Unit 1 was commissioned in April 2021.

In December 2020, eight Chinese financial institutions announced that they had reached a funding agreement for the integrated Delong Nickel production facilities, which include the Delong Nickel Phase II power station along with a Nickel Mine, a Steel Smelting Plant, and a Multi-Functional Port. The eight Chinese institutions involved in the deal were Bank of China (BOC), China Development Bank, China Construction Bank, ICBC, Agricultural Bank of China, CITIC bank, China Merchants Bank, and Tai Fung Bank.

Unit 8 began operating in June 2021. Unit 10 began operating in October 2021. Unit 9 began operating in January 2022, after Units 1-8 and Unit 10 were already operating.

The power station appeared to be holding space for an additional 380 MW unit in 2022, considered Unit 11. The unit was presumed shelved.

In March 2023, the power station was described as "2×125MW+6×135MW+2×380MW", further suggesting that the power station was fully operational with ten units.

In December 2023, Planet imagery showed that the space reserved for the 11th unit was still not occupied. With two years since any known update regarding the shelved Unit 11, it was presumed to be cancelled.

Environmental impact

Residents living near the Delong Nickel Smelter began to complain about pollution from coal dust almost immediately after the Delong Nickel power station began operation. The coal dust regularly blows up to 3 kilometers away from the power station and coats everything, both indoors and outdoors. Children in the area have also began coughing and having difficulty breathing.

In March 2025, nearby shrimp farmers recounted losses due to worsening water quality allegedly attributable to PT OSS.

Litigation

In December 2024, the Unaaha District Court in South Sulawesi held a trial surrounding alleged human rights violations and environmental damage caused by Delong Nickel Phase I power station and Delong Nickel Phase II power station. PT VDNI and PT OSS, the owners of the power stations, were summoned but did not appear.

In January 2025, PT OSS acknowledged in a later hearing that environmental degradation had occurred surrounding the industrial area. Meanwhile, PT VDNI did not submit a similar comment.

In April 2025, it was revealed in the hearing that the companies had not distributed obligatory corporate social responsibility funds intended for environmental management and community welfare. Community advocates argued that environmental impact assessment (AMDAL) requirements lacked proper supervision from the government.

Articles and Resources

Additional data

To access additional data, including an interactive map of coal-fired power stations, a downloadable dataset, and summary data, please visit the Global Coal Plant Tracker on the Global Energy Monitor website.