MANILA, Philippines—Energy Development Corp. is investing P22 billion for priority capital projects this year to further strengthen its foothold in both the domestic and international geothermal markets.
This was slightly higher than the P20-billion capital spending that was programmed by the company last year.
“We are investing P15.5 billion for growth projects and P6.5 billion for existing operations like rehabilitation capital expenditures (this year),” EDC president and COO Richard B. Tantoco said in an interview.
According to Tantoco, the company’s priority power projects for the year included the Nasulo geothermal project in Negros, the 86-megawatt Burgos wind power project in Ilocos Norte and its various exploration projects abroad.
EDC is preparing for the transfer of the 49-MW Northern Negros geothermal power plant (NNGP) to Nasulo, Negros Oriental, from its original site in Negros Occidental.
The move is critical to reverse the P5-billion impairment loss incurred by the company when it earlier shut down the NNGP because the steam resources within its northern Negros geothermal concession area could only generate about 5 to 10 MW, much lower than the 49-MW facility available in the area.
The geothermal firm is targeting to complete the transfer and have the facility running at its new location by 2014.