PNOC unit eyes global market

MANILA, Philippines - State-owned PNOC-Alternative Fuels Corp. (PAFC) has tied up with Japanese trading and manufacturing firm Toyota Tsusho in preparation for plans to expand into the global market, a top company official said.

PAFC president and CEO Romeo Tolentino said the company has recently signed a memorandum of understanding (MOU) with the Japan-based firm.

PAFC’s partnership with Toyota Tsusho promises a brighter potential for the commercialization and marketing of biofuels not only in the country but even in the ASEAN region,” he said.

Toyota Tsusho is trading company involved in the manufacturing of food and chemicals. Its main thrust, however, is on automotive-related business.

Tolentino said they have also signed a similar MOU with Dole Philippines to further improve both companies’ involvement in alternative fuels development.

In line with the government’s policy of reducing dependence on imported oil and utilizing indigenous renewable energy sources, PAFC has been given the mandate to explore, develop and accelerate the use of alternative energy to enhance the country’s energy security.

Under the MOU, PAFC will jointly explore possible areas of collaboration and cooperation in various areas of research development, commercialization and supply and marketing of biofuels in the country.

Tolentino said the agreement is seen to open a new horizon in the current jatropha bio-diesel project of PAFC owing to the proven track record of Dole Philippines in agronomic strategies and practices.

PAFC, the biofuels development arm of state-owned Philippine National Oil Co. (PNOC), is planning to construct its on own jatropha processing plant.

PAFC general manager Clovis Tupas said the cost of the project will be not more than P10 million.

The company is looking at putting up a 5,000-liter jatropha processing plant in Fort Magsaysay, Nueva Ecija.

“Target operation is next year when feedstock becomes available,” Tupas said.

PAFC maintains a 500-hectare jatropha nursery plantation in Fort Magsaysay.

The company prefers to grow jatropha curcas or “tuba-tuba” as this feedstock is seen as the most productive and economical feedstock.

According to the PAFC official, they would be tapping small oil firms to buy the produce from their plant.