Toledo Power gets P7-B loan for coal plant

MANILA, Philippines - Toledo Power Co., a wholly-owned subsidiary of Global Business Power Corp. (GBPC) of GT Capital Holdings, has secured a P7-billion loan facility to finance the ongoing construction of its 82-megawatt clean coal-fired plant expansion project in Toledo City, Cebu.

The loan represents 70 percent of the P10.175-billion total project cost while the remaining 30 percent will be financed through equity.

The expansion project, once completed, will supply the electric power requirements of Carmen Copper Corp. beginning Dec. 26, 2014.

Mining firm Carmen Copper is a subsidiary of Atlas Consolidated Mining and Development Corp. The company will need additional electric supply to finance its mining expansion activities.

“The expansion project shall use the same clean coal technology being used in Cebu Energy’s 3x82-MW and Panay Energy’s 2x82-MW plant facilities,” Global Power said yesterday.

Toledo Power has tapped First Metro Investment Corp. (FMIC) as the lead arranger of the loan.

FMIC said the P7-billion loan requirement was 50 percent oversubscribed, a positive indicator of the financing institutions’ strong confidence on the project.