PetroEnergy unit signs deal with Aklan co-op

Business Mirror 

Published on Thursday, 29 November 2012 20:04

Written by Paul Anthony A. Isla / Reporter

LISTED PetroEnergy Resources Corp. (PERC) said on Thursday its wholly owned subsidiary PetroGreen Energy Corp. (PGEC) signed an agreement with the Aklan Electric Cooperative (Akelco).

In a disclosure to the Philippine Stock Exchange, PERC said the deal covers the construction of the transmission line for PGEC’s 50-megawatt (MW) Nabas wind power plant. The project is being developed under Service Contract 2009-09-002.

PERC said the agreement was signed by Francisco G. Delfin Jr., PGEC vice president, and Akelco General Manager Chito R. Peralta.

The said deal will result in a construction contract where PGEC engages Akelco to put up the single-circuit 69-kilovolt overhead interconnection line based on the engineering design and transmission line components furnished by PGEC.

The finalization of the deal followed the approval and release in August of the Nabas system impact study results conducted by the National Grid Corp. of the Philippines (NGCP).

The NGCP study stipulated the connection scheme for Nabas and PGEC’s filing for commerciality declaration of the project with the Department of Energy (DOE) on September 10, 2012.

Delfin said the interconnection distance between the Nabas wind farm and the NGCP-approved connection point near Unidos, Aklan, is less than 10 kilometers.

He added that the interconnection makes the Nabas project quite likely the one with the shortest transmission line requirement that should translate to faster project construction completion.

The project is said to be consistent with Akelco’s goals of seeing more generation facilities to be put up in Aklan to increase power supply in the province. It also enables Akelco to provide services to power companies.

“The Nabas project testament to the continuing economic growth of Aklan province and Panay Island as a whole, which for a long time suffered from underdevelopment,” he said.

Peralta said the development and operation of the Nabas wind-power facility is consistent with the local government resolution for new power plants in the province to harness renewable energy.

Peralta said they also expect that Nabas will further maximize the eco-tourism potential of the province with the wind farm being near Boracay Island.

Subject to the commerciality declaration and megawatt allocation for the project, PERC said PGEC plans to start the initial development works in Nabas by next year with a mid-2014 target for commercial operations.

“Along with the commercial start of the 20-MW Maibarara geothermal project in late 2013 and the expected increase in daily oil production from the Etarne oilfields in Gabon by 2015, these projects will ensure new and steady revenues for both PGEC and PERC,” the company said.   source