Citicore Renewable Energy Corp. (CREC) and partner San Miguel Global Light and Power Corp. (SGLP) expect to complete their 153.5-megawatt solar power project in Barangay Lucanin, Mariveles, Bataan next year.
“We’re doing the engineering design. Timetable is once we secure all the remaining permits, we look to start construction before year-end. Timetable would be one year, so by end of 2025,” CREC president Oliver Tan said.
Construction cost is around P6 billion based on industry estimates. The joint venture is looking at a 70-percent project financing and 30-percent equity funding for the project.
CREC signed on June 28 an investment and shareholders agreement with SLGP to jointly develop, build and operate the solar power plant.
SLGP, a unit of San Miguel Global Power Holdings Corp., is engaged in power generation such as the exploration, development and utilization of renewable energy resources.
The parties agreed to work and cooperate in the financing, construction, ownership, operation and maintenance of the plant through the subscription to a special purpose entity.
CREC will initially own 49 percent and SGLP will take 51 percent of the total issued and subscribed capital stock of the joint venture company.
CREC said that upon reaching the construction phase, it would subscribe to additional shares, resulting in an ownership split of 50 percent each between CREC and SGLP.
CREC said the transaction would increase the company’s attributable solar energy capacity in line with its goal of contributing 1 gigawatts of ready-to-build/under construction solar energy capacity a year for the next five years
“The joint venture will add approximately 76.75 MW to the company’s attributable solar energy capacity,” it said.
