News

4 companies expected to bid for 150 MW BacMan plants

Bac Man geothermal field, Philippines (source: EDC)
Alexander Richter 5 May 2010

PSALM expects four companies to bid for the 150 MW BacMan plants in the Philippines. Companies expected to bid are: Aboitiz Power Corp.-led Therma Power, Energy Development Corp. (EDC), San Miguel Energy Corp., and Trans Asia Oil and Energy Development Corp.

Reported from the Philippines, “government run Power Sector Assets and Liabilities Management Corp. (Psalm) is optimistic that it will be able to bid out today (Wednesday) the 150-megawatt (MW) Bacon-Manito (BacMan) geothermal power plants.

The 150-MW BacMan geothermal power plants are located in Manito, Albay and Sorsogon City, Sorsogon.

Conrad Tolentino, Psalm vice president of asset management and electricity trading, said the successful privatization of the BacMan will bring Psalm to have sold 91 percent of the generating assets of the National Power Corp. (Napocor) in Luzon and the Visayas.

Among the bidders who expressed interest and are expected to bid include Aboitiz Power Corp.-led Therma Power, Energy Development Corp. (EDC), San Miguel Energy Corp., and Trans Asia Oil and Energy Development Corp.

EDC currently provides the steam that fuels the BacMan geothermal plants.

“The BacMan plants are not in ideal condition although as geothermal assets they have good potential value. Our expectations have to be weighed against these circumstances,” Tolentino said.

The BacMan 1 geothermal plant consists of two 55-MW turbines that were both commissioned in 1993, while the BacMan 2 consists of two 20-MW units called the Cawayan and the Botong.

The Cawayan located in barangay Basud was commissioned in 1994, while the Botong unit, commissioned in 1998, is in Osiao, Sorsogon City.

“The BacMan is the last geothermal power plant that Psalm will bid out by the government as the remaining geothermal contracts to be offered will be to those who will bid as independent power producer administrators,” Tolentino said.”

Source: Business Mirror