PetroEnergy to start Aklan wind power venture

Publicly listed PetroEnergy Resources Corp. intends to start by 2013 initial works on its 50-megawatt Nabas wind power project in Aklan.

The move will allow the power project to start commercial operations by mid-2014.

These targets, however, are still subject to the declaration by the Department of Energy of the project’s commerciality, the company said in a disclosure to the Philippine Stock Exchange.

Speaking for the host local governments, Aklan Gov. Carlito Marquez said the Nabas project was a “testament to the continuing economic growth of  Aklan and Panay, which for a long time suffered from  underdevelopment.”

“The development and operation of the Nabas wind power project is consistent with the province’s recent resolution of harnessing renewable energy for new power plants to be erected in the province. We also anticipate that Nabas will further maximize the eco-tourism potential of  the province with the wind farm being near Boracay island,” Marquez was quoted in the disclosure as saying.

The cost of the planned Nabas wind farm—which is being undertaken by the company’s wholly owned subsidiary PetroGreen Energy Corp.—was estimated to reach $125 million to $135 million (about P5 billion to P5.4 billion at an exchange rate of P40 to a dollar).

In the meantime, PetroEnergy also disclosed that PetroGreen Energy signed on Wednesday a heads of agreement with Aklan Electric Cooperative Inc. (Akelco) for the construction of a transmission line for the Nabas wind power project.

Akelco is the electricity distribution franchise holder in the area where the proposed wind facility will be put up.

A construction contract, which is expected to be signed following the heads of agreement, stipulated that PetroGreen Energy will engage Akelco to put up a single-circuit 69-kilovolt overhead interconnection line based on engineering design and transmission line components to be furnished by PetroGreen.

The signing of the heads of agreement followed the approval and release in August this year of the grid impact study (GIS) for the Nabas wind farm. The GIS was conducted by National Grid Corp. of the Philippines.

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