P2.8B Maibarara drilling project on track

Maibarara Geothermal Inc. has completed the drilling of three production wells that will supply steam to its 20-megawatt geothermal power plant in Mt. Makiling, putting it on track to finishing the P2.8-billion project by next year.

In a disclosure to the Philippine Stock Exchange, joint-venture member PetroEnergy Resources Corp. said Maibarara Geothermal would start drilling a reinjection well, which will be used for reinjecting condensate fluids coming from the geothermal facility back to the subsurface reservoir to recharge the system.

“Construction of the power plant is ongoing and proceeding on schedule. Maibarara Geothermal plans to commercially operate the plant in late 2013, making it the first geothermal power station in the country in six years and the first under the present Aquino administration,” PetroEnergy said.

PetroEnergy, through its wholly owned subsidiary PetroGreen Energy Corp., holds a 65-percent stake in Maibarara Geothermal, while Trans-Asia Oil and Energy Development Corp. owns 25 percent. The rest is held by PNOC Renewables Corp. (PNOC-RC).

According to Maibarara Geothermal president Francisco G. Delfin Jr., the joint venture is pleased with the efficient completion of the production well, but is “equally delighted that our 2012 drilling campaign has gone safely, thus far.”

Energy Undersecretary Jose M. Layug Jr., for his part, noted that the Maibarara geothermal power project was a “testament of a successful public-private partnership envisioned by the Aquino administration. We hope that the Maibarara project will encourage more renewable energy investment in the Philippines.”

A study by a New Zealand-based consulting company showed that proven geothermal reserves in Mt. Makiling could support the operations of Maibarara’s 20-MW facility over the next 25 years.