Philippines' Basic Energy to explore renewable energy projects

The Philippines' Basic Energy Corp. is putting up a $2-billion joint venture.

Among the foreign investors is a Chinese group.

The objective is for the development of renewable energy as well as oil and gas exploration projects.

The MoU is expected to be signed in the first semester this year for the RE project while the agreement for gas and oil project by the second quarter. Each project could fetch $1 billion for a total of $2 billion worth of investments.

“It will be a 60-40 joint venture in favor of Basic,” the source said. The RE project is expected to generate a total of 200 megawatts.

Based on the company’s “Investment Opportunities” document, Basic was awarded by the Department of Energy  on July 10, 2008 the Mabini Geothermal Service Contract applications.

Basic has already completed the preparation of the pre-feasibility study of the Mabini Geothermal Project.

Initial studies reveal a suitability for small-scale power generation using binary units.

The company is also a holder of the Geothermal Renewable Energy Service Contract that involves four mini geothermal sites located in East Mankayan (Benguet), Mt. Iriga (Camarines Sur), Mt. Mariveles (Bataan) and West Bulusan (Sorsogon).

The document also identified six rivers with ten applications for mini-hydro plants in Negros Occidental. These rivers are Bago River in San Carlos City, Binalbagan River, Himogaan River, Malogo River, Puntian River and Talabaan River.

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