Basic Energy taps Filtech for study on geothermal project

MANILA, Philippines - Basic Energy Corp. has tapped the services of Filtech Energy Drilling Corp. the pre-feasibility study of its geothermal energy project in Mabini, Batangas.

In a disclosure to the Philippine Stock Exchange, Basic Energy said the study consists of technical (pre-development and development), environmental and social, financial and economics, project schedule and implementation and risk assessment.

The Mabini geothermal service contract was awarded to the company in July 2008.

A controlled source magneto-telluric (CSMT) survey conducted on the area in May 2010 indicated a potential 20-megawatt resource.

The pre-feasibility study aims to validate the CSMT analysis, provide a more detailed geophysical and geologic evaluation, determine the best drilling locations and simulate the technical, operational and economic feasibility of a 20-MW geothermal power plant assuming a successful drilling phase, Basic Energy said.

Basic Energy is engaged in oil exploration and development. Its wholly-owned subsidiaries include Basic Petroleum & Minerals Inc. (BPMI), an oil and gas exploration and mining company; Basic Diversified Industrial Holdings Inc., an investment holding company; iBasic Inc., an information technology management company and service integrator and Southwest Resources Inc., an oil exploration company, which is owned 72.58 percent by the company.

To date, Basic Energy has two additional wholly-owned subsidiaries: Basic Biofuels Corp., which is into the development of biofuels and Basic Ecomarket Farms Inc., which is into agriculture, focusing initially on cassava development and production.