EDC readies Bac-Man geothermal link

Energy Development Corp. of the Lopez Group is preparing the transmission connection on its P7.6-billion, 31 megawatt Bac-Man 3 geothermal power plant to ensure completion in 2017 in time for the plant’s commercial operations.

EDC has sought government approval to develop a dedicated point-to-point limited facility to connect the Bat-Man 3 geothermal power project to the Luzon grid.

The company decided to develop the project in Barangay Capuy, Bucalbucalan, Rizal and Bulabog in Sorsogon City based on the projected 1,000-MW additional capacity needed by 2017.

“In order to supply the energy generated by the Bac-Man 3 project to the public, EDC intends to connect the plant to the Luzon grid. It plans to construct a connection asset for its exclusive use, which shall connect the plant directly to Palayan Bayan switchyard,” it said.

EDC expects to complete the construction of the connection project by the latter part of the second quarter of 2017. It wants to have the connection project in place and ready for the commissioning of the Bat-Man 3 project around the fourth quarter of 2017.

It said the completion of the Bac-Man 3 project within the projected time frame was critical to ensure that additional capacity would be available in the Luzon grid.

EDC has already  signed a design and equipment supply contract with Hyundai Engineering Co. Ltd. and a construction services contract with Galing Power & Energy Construction Co. Inc. to build the Bac-Man 3 geothermal power plant.

The other Bacman plants include the 120-MW Bacman 1 and 20-MW Bacman 2.

“Given its specifications, the Bac-Man 3 power plant is expected to withstand harsh weather conditions and improve plant reliability. Once operational, Bac-Man 3 project will augment the power generating capacity of the Luzon grid and address the projected demand growth in the region with clean and affordable power,” EDC business development vice president Vincent Villegas said.

The Bac-Man 3 project will reduce greenhouse gas emissions by about 270 kilotons of CO2 annually, if a similar capacity of fossil-fired power plant were to be built. 

Bac-Man Geothermal executed agreements with Bank of the Philippine Islands, BDO Unibank, Inc., and Security Bank Corp. BDO Capital & Investment Corp. acted as structuring advisor and sole bookrunner, while BDO Capital & Investment Corp., BPI Capital Corp. and SB Capital Corp. acted as joint lead arrangers of the transaction.

The addition of Bac-Man 3 project to EDC’s geothermal portfolio solidifies its leadership in the Philippine geothermal industry.

EDC owns and operates 1,169 MW of integrated geothermal projects in Leyte, Negros Islands, Bicol and North Cotabato. It also successfully commissioned the 150 MW Burgos wind project, the largest in Southeast Asia. 

EDC also operates hydropower and solar energy plants.

Topics: EDC , Bac-Man geothermal
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