Alsons pushes $1.3-B power projects

MANILA, Philippines - Alsons Consolidated Resources Inc. (ACR) of the Alcantara family is pursuing $1.3 billion worth of power generation projects in electricity-starved Mindanao.

Six power projects will allow ACR to grow its generating capacity by four times to 665 megawatts (MW) by 2019.

“By 2019, ACR will have an attributable capacity of 665 MW,” said ACR chief finance officer Luis R. Ymson Jr.

ACR president and chairman Tomas Alcantara said the listed firm will put up three coal-fired power plants and a hydropower facility, and complete the rehabilitation of a diesel plant at a cost of $450 million.

The company will also spend $900 million for a 419-MW open cycle gas turbine and coal-fired power station to supply the needs of the $5.9-billion Tampakan copper and gold mining operation in Mindanao, Alcantara said.

“ACR is resolved to do its share in ensuring Mindanao’s power stability for the long run,” Alcantara said.

Ymson said ACR will be an active player in Mindanao, which is suffering from serious power supply deficiency.

The rehabilitation of its100-MW Iligan diesel power plant is targeted to be completed in September, allowing ACR to increase its output to 98 MW from the current 26 MW.

The Iligan diesel plant, which was previously operated in 2010, was sold to ACR subsidiary Conal Holdings Corp. for P300 million after it was acquired by the local government due to tax delinquency.

ACR’s Sarangani Energy Corp. is also putting up two 105-MW coal-fired power plants, of which the first 105 MW unit will be under a partnership with Japan’s Toyota Tsusho Corp.

The 105-MW coal plant of San Ramon Power Inc. in Zamboanga City already received an environmental clearance from the Department of Environment and Natural Resources.

The listed holding firm is also venturing into renewable energy through the 16.7-MW Sigil river hydropower project.

“Today, we have operating three diesel plants in Zamboanga, General Santos and Iligan. We are building three coal plants to replace the unreliable hydropower and expensive diesel plants,” Ymson said.

To date, ACR units Southern Philippines Power Corp. operates a 55-MW diesel plant in Alabel, Sarangani while Western Mindanao Power Corp. is into the 100-MW diesel plant in Zamboanga City and ACR is rehabilitating the Iligan diesel facility.

For this year, ACR targets to take in P627 million in net income and P4.91 billion in revenues, up from P509 million and P3.07 billion in 2012, respectively, on higher energy sales.

The Alcantara group is also into real estate, aquaculture, agribusiness and services primarily focusing on Mindanao.