Tuesday, May 22, 2018

AC Energy selling 50% of thermal power projects


By Lenie Lectura - May 20, 2018

AC Energy, the power arm of conglomerate Ayala Corp., is selling as much as half of its thermal-energy platform, in a bid to balance the firm’s renewables and thermal portfolios.
The company said last Sunday it is currently in talks with interested investors.
“AC Energy is currently in discussions with potential investors/partners for our thermal platform,” said Eric T. Francia, president and CEO of AC Energy. The move is also meant to raise capital to support growth as the company expands in the region.
“While we will grow our renewables exponentially, we shall continue to grow our thermal platform in the Philippines and around the region,” Francia added.
AC Energy has a total attributable capacity of around 1,600 megawatts (MW) across its thermal and renewables platforms.  As of the first quarter of 2018, AC Energy nearly doubled its net profits to P593 million.
AC Energy has 1.3 MW of conventional power and around 300 MW of renewable-energy (RE) projects. Its RE projects are the 52-MW Northwind Power Development Corp. in Bangui, Ilocos Norte; the 81-MW wind farm in Pagudpud, Ilocos Norte through its affiliate NLREC; and the 18-MW solar plant in Negros Oriental, a joint undertaking with Bronzeoak Clean Energy Inc.
Meanwhile, its conventional power projects include the 668-MW GN Power Dinginin Ltd. Co. coal plant in Bataan; the 604-MW GNPower Mariveles; the 2×135-MW coal-fired power plant in Calaca, Batangas, under South Luzon Thermal Energy Corp.; and the 4×135- MW coal-fired power plant in Kauswagan, Lanao del Norte, in Mindanao through GN Power Kauswagan Ltd. Co.
The company is currently active in developing RE projects overseas in a bid to grow its presence in Southeast Asian markets.
In January Ayala Corp. announced it divided its energy business into two wholly owned subsidiaries—AC Renewables Inc. and ACE Thermal Inc.
All renewable assets will be put under AC Renewables, and its existing thermal-holdings company will be renamed ACE Thermal.  AC Energy remains as its umbrella brand for its energy group of companies.
Francia said the restructuring will allow the group more flexibility to pursue developments in renewables and conventional power.

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