Philippines-based First Gen Corporation has allocated USD550 million for capital expenditure (capex) during 2022. Majority of the budget has been earmarked for Energy Development Corporation’s (EDC) renewable energy (RE) expansion projects with the remaining to finance First Gen’s liquefied natural gas (LNG) terminal project.
Out of the total budget, around USD266 million has been allocated to finance drilling programs and upgrades including works on the 3.6 MW Mindanao-3 binary project, 20 MW Tanawon plant as well as the 29 MW Palayan Bayan binary project. The Palayan and Tanawon projects in Albay and Sorsogon are expansions of the Bacon-Manito geothermal power plant.
Additionally, around USD70 million has been allocated for the Aya hydropower project in Nueva Ecija. Construction on the plant is expected to commence by the end of 2022. EDC will also work on initiatives including energy storage, silica mining, and wind energy.
The LNG terminal has been allotted USD135 million capex to finance construction works. Commercial operations are expected to commence in Q4 of 2022.
The 1,200 MW Sta. Maria natural gas-fired combined cycle plant in Batangas City has been allocated a budget of around USD50 million. Works on the power plant is expected to be finished in 28 months. First Gen has already completed pre-development efforts and received required permits.