MANILA, Philippines - Basic Energy Corp. has started drilling works in its geothermal service contract in Mabini, Batangas.
In a disclosure to the Philippine Stock Exchange (PSE), the company said it has commenced the first stage of the exploration program for its Mabini geothermal service Contract (GSC), consisting of geophysical and geological surveys covering 3,481 hectares in the Calumpan Peninsula in Mabini.
The GSC was awarded by the Department of Energy (DOE) last July 10, 2008. Basic has completed preliminary studies and re-evaluation works prior to embarking on the exploration program committed under its work program with the DOE.
Basic said the certificate of non-coverage for the geothermal contract was issued by the Environmental Management Bureau on March 25, 2009 and the certificate of non-overlap from the National Commission of Indigenous People was issued on April 15, 2009.
Basic’s initial assessments indicated that the area has good potential for power generation that could be developed within a two-to three-year period considering the existence of adequate infrastructure, adjacency to transmission lines and a strong power demand in the area.
This year, Basic said it will focus mainly on renewable energy development, including the geothermal project. The company said it would also be focusing on the development of alternative fuels such as ethanol.
Basic unit EcoMarket Farms Inc. (BEF) will continue with its plans to put up a bioethanol plant in Mindanao.
Basic’s focus in 2010 will still be in biofuels and renewable energy. We will continue with our feedstock development program under our wholly-owned subsidiary, BEF, for our planned bioethanol plant. We will continue to expand our cassava farms in the Zamboanga Peninsula,” it said.