Winner | Asian Digital Media Awards 2020

Trans-Asia eyes P33B new power projects

Trans-Asia Oil and Energy Development is looking to invest P33 billion in new power projects over the next five years, a ranking company executive said.

These new projects, which are currently under study, will allow the company to generate almost 700 megawatts (MW) of power by 2017, said Roberto M. Laviña, executive vice-president and chief finance officer of Trans-Asia.

“Total project cost is P33 billion under various assumptions for debt-to-equity level and participation,” he added.

For instance, the Trans-Asia is looking at the second line for the South Luzon Thermal Energy Corp (SLTEC) worth P9.5 billion.

SLTEC is a joint venture between Ayala Corp’s AC Energy Holdings Inc and Trans-Asia. SLTEC will build a P13-billion, 135-MW circulating fluidized bed power plant in Calaca, Batangas.

Laviña said the company is also conducting studies for the second phase of the Maibarara geothermal power plant in Calamba, Laguna and Sto Tomas, Batangas.

The expansion might cost around P3 billion, he said.

For North Mindanao, Trans-Asia wants to put up a coal-fired power plant to lessen the impact of the ongoing power crisis in the island.

The company is also planning to undertake several renewable energy ventures like wind projects, Laviña said.

“If all these projects come into play, then we will need approximately P5 billion in the next five years,” he said, referring to the equity contribution of Trans-Asia.

“These new projects will increase generating capacity to 687 MW by 2017,” he added.

Last year, the company had a power generation capacity of 180 MW, which is expected to increase to 201 MW this year, 221 MW in 2013 and 341 MW in 2014.

Profits of Trans-Asia surged to P408 million last year from P14.74 million the previous year on the back of higher trading revenues from its power business.

Trans-Asia engages primarily in oil exploration, but has investments in cement manufacturing, coal trading and power generation.

Trans-Asia also holds Service Contract (SC) 6A and 6B in Northwest Palawan, SC 14 (Tara Block) and SC 14B-1 (North Matinloc) in Northwest Palawan, SC 51 in the East Visayan Basin, SC 55 in Southwest Palawan and SC 69 in the Visayas Basin.

Each service contract has a predevelopment term of three years and a 25-year development stage, which may be extended for another 25 years.

Thanks for reading to the end of this story!

We would be grateful if you would consider joining as a member of The EB Circle. This helps to keep our stories and resources free for all, and it also supports independent journalism dedicated to sustainable development. For a small donation of S$60 a year, your help would make such a big difference.

Find out more and join The EB Circle

blog comments powered by Disqus

Most popular

View all news

Industry Spotlight

View all

Feature Series

View all
Asia Pacific's Hub For Collaboration On Sustainable Development
An Eco-Business initiative
The SDG Co