Tuesday, May 7, 2013

Semirara Mining eyes rights offering

Manila Standard Today
By Alena Mae S. Flores  Posted on May 07, 2013 at 12:01am
Listed Semirara Mining Corp., a unit of DMCI Holdings Inc., may conduct a rights offering to partially fund the second phase of expansion of the 600-megawatt Calaca coal-fired power plant in Batangas this year, a company official said Monday.
Isidro Consunji, chief executive of Semirara Mining, told reporters following the company’s annual meeting the project would add another 300 MW to the capacity of the power plant. The expansion may cost $400 million to $500 million.
Semirara Mining, through Southwest Luzon Power Generation Corp., has started the first phase of the expansion involving the first 300-MW additional capacity of the Calaca facility.
The second  expansion, once completed in two and a half years, will bring the company’s total generation capacity to 1,200 MW. The plant has received an  environmental compliance certificate for up to 1,800 MW.
Consunji said the company would fund 70 percent of the expansion through loans from banks and 30 percent from equity.
“Semirara Mining might do a rights offering for phase two because the rights offering is only for the acquisition of Calaca, so they did not conduct a rights offering for the first expansion. So we may conduct a rights offering for the second expansion,” Consunji said.
He said Semirara Mining might create another wholly-owned company for the second phase of expansion.
Consunji said the company would proceed with second phase of expansion in the third quarter pending a study on which more coal technology is efficient.   source

No comments:

Post a Comment