ALSONS Consolidated Resources, Inc. (ACR) has lined up two run-of-river hydroelectric power plant projects as the follow-up to the Siguil hydro development that recently secured financing.
Philip Edward B. Sagun, ACR deputy chief financial officer, said the Siayan hydro project in Zamboanga del Norte and the Bago hydro project in Negros Occidental “are the next two projects in the pipeline.”
“Securing and finalizing financing is dependent on the progress of the ongoing project development stages and various permitting from relevant agencies,” he said in an e-mailed response to questions.
The 21-megawatt (MW) hydropower plant in Zamboanga del Norte is being developed by ACR’s Sindangan Zambo-River Power Corp.; and the 42-MW Bago river hydroelectric power plant in Negros Occidental will be the company’s first power project outside of Mindanao.
On Friday, ACR said its unit Siguil Hydro Power Corp. had signed a P3.3-billion omnibus loan and security agreement for the 14.5-MW plant with state-led bank Development Bank of the Philippines (DBP).
Mr. Sagun said the loan deal comprises 75% of the total project cost of the Siguil hydro plant.
“Equity will shoulder the rest of the cost,” he said.
ACR Chairman and President Nicasio I. Alcantara said, “eventually,” renewable energy sources would comprise at least half of ACR’s long-term energy mix.
“We share a common mission of bridging development gaps to improve the well-being of the people in the communities we are active in, doing so in a sustainable manner, and protecting the environment,” said ACR Chairman and President Nicasio I. Alcantara about the partnership with DBP.
“We hope DBP will be involved in those future projects as well,” he added
The Siguil hydro run-of-river hydroelectric power plant is currently under construction in Maasim, Sarangani province.
The project is ACR’s first renewable energy development. It is expected to begin commercial operations in the second quarter of 2023. Once operational, the plant will be a source of renewable power to key areas of Mindanao.
ACR, which is said to be Mindanao’s first private sector power generator, plans to develop at least seven more run-of-river hydro power facilities in Mindanao and other parts of the southern Philippines.
At present, the group operates four power facilities in Mindanao with a total generating capacity of 468 MW. The plants serve more than eight million people in 14 cities and 11 provinces in the country’s second-largest island.
In 2021, the company’s attributable net income rose 24.4% to P404.56 million from P325.11 million while consolidated revenues increased by 6.2% to P10.05 billion from P9.46 billion.
ACR said that its 210-MW Sarangani Energy Corp. baseload power plant was a key revenue and income driver, producing 974 gigawatt-hours last year from 952 gigawatt-hours in 2020.
On Friday, shares in the company climbed by 2% or two centavos to close at P1.02 apiece at the stock exchange. — Victor V. Saulon