By VG Cabuag - May 14, 2018
SEMIRARA Mining and Power Corp., a
unit of DMCI Holdings Inc., said it will sustain growth this year despite the
scheduled and unplanned shutdowns in the first quarter of its four power
plants.
“Even with the plant shutdowns, we
are on track to deliver full-year growth. We expect to offset our
replacement power costs in the succeeding quarters from our insurance claim,”
company President Victor A. Consunji said.
Unit 2 Sem-Calaca Power Corp. was
offline for the most part of the quarter for a scheduled preventive maintenance
and technical inspection in relation to its rehabilitation program. Meanwhile,
Unit 2 of Southwest Luzon Power Generation Corp. was shut down for preventive
maintenance work.
Forced to go on unplanned shutdowns
in early-March was Unit 1 of Sem-Calaca as it required the removal of
slags from its boiler. It went back into operation in March.
Unit 1 of Southwest Luzon was also
shut after it exhibited abnormal equipment vibration. It will remain offline
for repairs until August this year, the company said.
With the shutdown, the company began
purchasing replacement power from the Wholesale Electricity Spot Market in the
last week of March which had minimal impact on its first quarter earnings.
South Luzon has business
interruption insurance that covers the loss of business income as a result of
damage to the insured asset.
“We anticipate higher coal sales
this year because of healthy demand from local and international consumers. The
foreign-exchange rate and strong coal prices will also prop up our bottom
line,” Consunji said.
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