Phinma-led Trans-Asia Oil and Energy Development Corp. has signed separate agreements with two units of the Ayala group.
In a disclosure to the Philippine Stock Exchange on Thursday, Trans-Asia said it had signed a power purchase agreement with power-generation firm South Luzon Thermal Energy Corp. and a contract for the sale of electricity with DirectPower Services Inc., a retail electricity supplier.
Under the first deal, Trans-Asia will purchase the electricity to be generated by South Luzon Thermal’s second 135-megawatt coal unit, which is expected to be completed by 2016. The agreement is valid for 13 years.
South Luzon Thermal is a partnership between Trans-Asia and the Ayala group’s AC Energy Holdings Inc.
In a separate disclosure, Trans-Asia said the deal with DirectPower involved the supply of 106.71 MW to the latter for 11 years. The contract will take effect on June 26, 2013, or at the start of the retail competition and open access regime.
DirectPower has a license to sell, broker or market electricity to qualified customers.
Based on its submission to the ERC, DirectPower plans to supply power mainly to Ayala-owned and managed malls, office buildings, business process outsourcing (BPO), hotels and affiliates across the country.