A wholly owned subsidiary of Ayala Corp. is embarking on a joint venture to build and operate a thermal power plant in Lanao del Norte.
In a disclosure to the Philippine Stock Exchange, Ayala Corp. said its unit AC Energy Holdings Inc. signed a joint venture agreement with Power Partners Ltd Co., a private limited partnership.
The target of the joint venture deal is a 3×135 megawatt thermal power plant project in Kauswagan, Lanao del Norte. No other details were disclosed.
Power Partners has been engaged in developing and owning power facilities in the Philippines since 2001, Ayala Corp. said.
Earlier this year, Ayala Corp. said it plans to invest as much as $200 million (roughly P8.2 billion) in 2013 in several key power projects, in line with plans to assemble an energy portfolio of 1,000 MW worth roughly $2.5 billion. This includes investing some $100 million to $200 million of equity every year from 2012 to 2016, according to officials.
The Ayala group has investments in both conventional and renewable energy projects with various partners.
Conventional energy investments include the P12-billion, 135-MW coal facility in Batangas, with Trans-Asia Oil and Energy Development Corp. through a vehicle company called South Luzon Thermal Energy Corp.
Ayala also has a 17.1-percent interest in GNPower Mariveles Coal Plant Ltd. Co., which has a 600-MW coal facility in Bataan. Also floated was a possible 600-MW expansion by GNPower.