Trans-Asia logs 5-fold hike in profit to P397M

by Myrna Velasco November 14, 2015

http://www.mb.com.ph/trans-asia-logs-5-fold-hike-in-profit-to-p397m/

The full commercial operation of its coal-fired power plant in Batangas has been the main driver in the five-fold consolidated net income hike logged by Trans-Asia Oil and Development Corporation hitting a record P397 million in nine months via-a-vis last year’s P59 million.

Stream of revenues from the company’s generating plants had been 41-percent higher from January to September to P1.02 billion versus P723 million in the same period a year ago.

The energy arm of the Phinma Group, in a statement to the media, has specified that “net income for the period was boosted by earnings from South Luzon Thermal Energy Corporation.”

That was in reference to the 135-megawatt coal-fired power facility which is its joint venture with AC Energy Holdings of the Ayala group. The plant was also Luzon grid’s saving grace in this year’s widely anticipated tight supply months.

The second phase of another 135MW is also up for full commercial operations this year and could be an added income driver for the publicly-listed energy firm moving forward.

“SLTEC commenced operations of its first unit of 135MW CFB (circulating fluidized bed) coal-powered plant in April, 2015, and is currently in the commissioning stage for its second unit, poised to deliver another 135MW to the grid by yearend,” the company has emphasized.

Further, the Del Rosario-led energy firm has noted that its 54MW San Lorenzo wind farm venture likewise contributed to overall revenue growth during the period.

According to Trans-Asia Renewable Energy Corporation (TAREC) vice president Danilo L. Panes, the company is gratified with the outcome of this project’s operations despite the hurdles that they had to deal with, primarily in tugging their way into availment of the government-underpinned incentive for renewable energy projects – generally the feed-in-tariff.

Panes said the wind project “supplements the energy requirements of Panay, reducing the island’s reliance on power from Negros, and improving the reliability of the Visayas grid.”

In the next financial performance review periods, Trans-Asia is banking on the top line to bottom line contributions of its other assets – including its recent power barges acquisition from the Power Sector Assets and Liabilities Management Corporation (PSALM) which are of 96MW aggregate capacity.