Lahendong Geothermal Field is one of business units of Pertamina's Upstream Directorate, one of the present State Enterprise. The long lasting economic crisis, rapid globalization tendencies, regional economic demands as well as economic decentralization in general has set new colors and dynamics of Indonesia's business development.

Responding to the growing demand in electricity in the North Sulawesi province estimated at 16% per year through the year 2010 Pertamina intends to expand its geothermal power plant capacity in Lahendong geothermal field.

Since October 2001, the Lahendong geothermal field is producing steam to supply turbine with 20 MWe installed capacity. Pertamina is currently engaged in the operation of competitive geothermal facilities and in the expansion of the installed capacity in Lahendong Geothermal field as well as in other fields.

This paper presents a summary of the market demand in the region, preparation of contract and the strategy to develop Lahendong geothermal field.

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