10 groups prequalify for latest geothermal area biddings

MANILA, Philippines - At least 10 local and foreign groups have been pre-qualified in the bidding for nine geothermal areas offered under the latest Philippine Energy Contracting Round (PECR), a Department of Energy (DOE) official said.

“We are presently evaluating their proposals if they comply with the minimum requirement,” DOE assistant secretary Mario Marasigan said.

He said the geothermal contracting round requires various documentation which includes legal, technical, financial and work program.

He said the DOE will evaluate the proposals based on technical (30 percent), financial (30 percent) and work program (40 percent) data submitted.

Those that are prequalified are: Clean Rock Renewable Energy Resources Corp., Pan Pacific Power Corp., Energy Development Corp. and Envent Holding Philippines Inc. for Daklan, Benguet covering 23,639 hectares.

Four firms were also pre-qualified for the 11,928.72 hectares geothermal area in Natib, Bataan 1. These are Clean Rock Renewable Energy Resources Corp, Magma Energy Corp., Pan Pacific Power Corp. and Energy Development.

Marasigan said the DOE will also evaluate the proposals of PNOC Renewables Corp., Energy Development, Aragorn Power and Energy Corp. and Envent Holding Philippines Inc. for 9,324.30 hectares in Labo, Camarines Norte.

The DOE official said further evaluation will be done in areas where there is only one company prequalified to ensure that this firm will be able to comply with the bidding requirements.

These companies are Primary Energy Corp. for Acupan, Benguet; Constellation Energy Corp. for Montelago, Oriental Mindoro; PNOC Renewables for Isarog, Camarines Sur; Primary Energy Corp. for Sta. Lourdes Tagburos, Puerto Princesa City, Palawan; Energy Development for Mainit, Surigao del Norte and Petro Energy Resources Corp. for Maibarara, Laguna/Batangas.

The DOE said the proponent who got the highest point based on the specific criteria will be considered as the best counter proposal and will be awarded a geothermal service contract.

It said the proponent is “expected to drill one to two exploratory wells at the end of exploration period while areas where several well have already been drilled will come out with a counter proposal of drilling of additional exploration wells, infill or production wells and conduct feasibility and appraisal studies that will lead to power plant development at the end of period.”

The DOE will evaluate the proposals starting Nov. 25 to Jan. 8, 2010 while the contracts are expected to be awarded between Jan. 29 to Feb. 12, 2010.