STATE-OWNED power sector Assets and Liabilities Management Corp. completed on Thursday the sale of the decommissioned 225-megawatt Bataan thermal power plant (BTPP) for $2.859 million.
PSALM said it had successfully privatized the power facility through a negotiated transaction with Rubenori Inc., the lone bidder.
With its bid offer, Rubenori met the reserve price set by the PSALM board for the decommissioned power asset located in Limay, Bataan. The sale covers structures, plant equipment, auxiliaries and accessories, but not the underlying land, PSALM said.
Rubenori is engaged in the trade of scrap metals for both domestic and foreign markets. It acquires scrap materials, especially from non-operational power plants, sugar and paper mills, mining and other industrial machinery.
Currently, Rubernori maintains a strategic relationship with the Japanese firm Sato & Co. Ltd., which has almost 50 years experience in recovering and recycling iron and non-ferrous metals.
PSALM said it would declare Rubenori the winning bidder for the BTPP ?after it has verified the accuracy, authenticity and completeness of all submitted bid documents.?
Once it is satisfied, PSALM added, ?the Notice of Award will then be issued to Rubenori.?
PSALM conducted the negotiated sale after the third round of bidding for the BTPP held last February failed because the only compliant bidder did not meet the reserve price set by the government.
BTTP is the third decommissioned plant that the government had successfully privatized.
Aside from the BTPP, PSALM auctioned off the 200-MW Manila thermal plant in April 2008 and the 54-MW Cebu II facility last Jan. 22.