The geothermal project on Biliran Island by Biliran Geothermal, Inc. (BGI) has completed the drilling of eight wells, which were found to have a capacity of about 100 megawatts (MW).
Six of these wells are expected to start generating power by April, according to the Mayor Cabucgayan, Edwin R. Masbang, one of the facility’s host towns. In an interview with reporters, Mr. Masbang said they are looking forward to the economic boost from the plant, which will come from lower electricity rates and royalties paid to the local government.
The mayor added that a reliable energy source would now allow local officials to encourage more investors into the island province of Biliran. “We will be inviting investors to our town for the development of our resources preferably in agriculture, fisheries and aquaculture, and tourism to improve our economy,” he said.
BGI, 60% owned by Filipino-firm Emerging Power, Inc. and 40% by Orka Energy company from Iceland, holds a 25-year contract for the geothermal exploration and development, covering an area of 260 square kilometres. Emerging Power Inc. is majority owned by listed miner Nickel Asia Corp.
In previous news, we reported Biliran Island to be part of the province of Leyte. This is not the case. “Biliran was declared an independent province in 1992 and the Island Province is currently headed by the Provincial Governor, the Honorable Gerardo J. Espina, Jr.”, so a Facebook post by Emerging Power Inc.
“The BGI Concession area with an estimated potential of 350 MW is subdivided into two distinct resource areas with Biliran 1 in the South bounded by the Municipalities of Caibiran, Biliran, and Naval, and Biliran 2 in the North bounded by the municipalities of Almeria, Kawayan, and Culaba.”