Apostol said the first well drilled in San Juan town will be able to produce five megawatts (MW) of power.
The new well forms part of the overall plan to put up a 60-MW geothermal plant in Southern Leyte.
"We have lined up other wells to be drilled within the area. Survey shows that there is a positive sign that there could be other geothermal wells in the said area," Apostol said.
EDC is tasked to explore and develop geothermal and other renewable energy sources to lessen the country’s dependence on imported crude and move the country towards energy self-reliance.
This year, EDC is expected to borrow some P18 billion to finance its geothermal development projects.
According to Apostol, EDC intends to tap the Japan Bank for International Cooperation (JBIC) for a $120- million loan for the steam development and power project in Southern Leyte. EDC will provide the 10-percent counterpart fund of the loan.
EDC will also tap other financial institutions, including about $200 million to be borrowed from German financial institution KFW (Kreditstanstalt fur Wiederauf bau) for geothermal development of Mt. Lobi in Burauen,Leyte.
The Mt. Lobi project is expected to have an installed capacity of 500 MW upon its operations as early as 2008.
Earlier, EDC was able to tap the Development Bank of the Philippines (DBP) for a P1.4-billion loan for the expansion of the 192.5-MW Palinpinon geothermal power plant.
At present, EDC is the Philippines’ premier geothermal company with 1,149.4 MW in installed capacity spread over geothermal steamfields in Leyte, Negros Oriental, Bicol, and North Cotabato. This represents 60 percent of the country’s total geothermal capacity. – Donnabelle Gatdula