Maibarara Geothermal Inc. (MGI) expressed interest in three lots of state-run Power Sector Assets and Liabilities and Management Corp. (PSALM) located in Sto. Tomas City, Batangas and Calamba City, Laguna totaling 58,911 square meters, with minimum bid price of P473.168 million.
MGI is the joint venture of PetroGreen Energy Corp. (65 percent), PHINMA Energy (25 percent) and PNOC Renewable Corp. (10 percent). It is the developer and operator of the 20-megawatt Maibarara-1 and 12-MW Maibarara-2 Geothermal Power Project (MGPP) in Sto. Tomas, Batangas.
PSALM president Dennis dela Serna confirmed the interest of MGI in the properties which would undergo public bidding.
PSALM set the pre-bid conference on Oct. 30, 2024, and the bid submission deadline and opening on Nov. 20, 2024.
According to PSALM’s bidding procedures, Lot No. 5255-B (Lot B) and Lot No. 5253-A are covered by a land lease agreement (LLA) among National Power Corp. (NPC), PSALM and Maibarara Geothermal Inc. (MGI) for 25 years starting May 2, 2012 and expiring on May 2, 2037.
Lot No. 4256-A is covered by an agreement among PSALM and MGI for one year starting April 15, 2024 and expiring on April 14, 2025.
PSALM said the LLAs did not restrict the rights of the company to sell the subject lots to a third-party, but the buyer should respect and protect the leasehold rights of MGI over the properties.
“In relation to the foregoing, the unused rent of MGI for the remaining term of the LLAs shall be computed by PSALM and to be deducted from the purchase price,” PSALM said.
It said that in case a third party to the LLAs was declared the winning bidder, PSALM would assign the LLAs in its favor.
PSALM said all lots are located within the bounds of the geothermal reservation delineated by Presidential Proclamation No. 1111, s. 1973, and the contract area of geothermal renewable energy service contract (GRESC) No. 2010-02-012 awarded by the Department of Energy (DOE) to MGI.
PSALM is tasked to manage the assets and liabilities of the National Power Corp. PSALM privatizes the remaining assets of NPC to pay off its debts.
