Trans-Asia eyes Pinamucan power plant transfer

Trans-Asia Power Generation Corp. (TPGC) has expressed interest in bidding for the transfer of the 110-megawatt (MW) Pinamucan power plant worth about P535 million.

"We are keen in participating in the privatization of Pinamucan. We see great potential in Panay and there is already a ready market for the new site of the power plant," TPGC president Francisco L. Viray said.

The power plant is among the individual assets to be auctioned off by the Power Sector Assets and Liabilities Management Corp. (PSALM) in early 2004.

Located in Batangas, plant will be transferred to Dingle, Iloilo within 10 months. The National Power Corp. (Napocor) will bid out the contract for the transfer of the diesel-fired power facility on Dec. 9 and hopefully award it to the winning bidder by Dec. 18.

The plant transfer has been deemed as one of the best solutions in resolving an impending power crisis in the Visayas region.

"If the Pinamucan power plant is there, the market is there. We have to focus on the area where there is a need," Viray said.

According to the TPGC official, the bidding for Pinamucan could be an alternative investment after the company decided to shelve talks with Aklan Electric Co. (Akelco) in putting up a 7.5-MW diesel-fired power plant.

But Viray said they are currently in discussions with Guimaras Electric Co. for the construction of a similar type of power facility in the province.

He said they are in the process of getting regulatory approvals from the National Electrification Administration (NEA), Energy Regulatory Commission (ERC) and Department of Environment and Natural Resources (DENR).

TPGC, the power generation arm of the Phinma Group, is a unit of the publicly-listed Trans-Asia Oil and Energy Development Corp.

Trans-Asia Oil’s primary business are in the areas of petroleum exploration and production and energy development. Incorporated in 1969, Trans-Asia Oil was in the consortium that produced oil in Cadlao in 1981. The Cadlao discovery produced 11 million barrels of oil in the 1980’s.

In 1987, it led the first all-Filipino consortium to drill and produce oil from a high-angle directional well in the Tara field. It also joined a consortium in 1988 for the North Matinloc project.

Trans-Asia Oil has been diversifying its interests while maintaining key positions in significant exploration programs. To balance its involvement in the high-risk business of petroleum exploration, it also has substantial investments in cement manufacturing, coal trading, power generation, and real estate.