Alsons to expand Indonesia business

MANILA, Philippines - Mindanao-based energy firm Alsons Consolidated Resources Inc. (ACR) said it plans to expand its portfolio in Indonesia amid a projected higher demand.

Tomas Alcantara, chairman and president of ACR, said the company is looking at South Sulawesi province in Indonesia for a new project with its joint venture partner.

“The community is growing so there is a looming increase in requirement,” Alcantara said.

Specifically, ACR might build a coal or natural gas-fired power plant for its new project.

To date, ACR unit Alto Power Management Corp. (APMC) provides management support to the 62.6-megawatt (MW) P.T. Makassar Power Corp. based in Indonesia.

Alcantara said the diesel plant provides electricity during peak hours.

APMC is owned by ACR and Toyota Tsusho Corp. of Japan, which acquired Tomen Corp. in April 2006. The firm is also into operations and management contracts overseas with Holcim and P.T. Makassar Power.

ACR has allotted around P600 million for capital expenditures this year as the company anticipates more demand for electricity.

Projected earnings of the company are P456 million this year, same with a year ago, said ACR chief finance officer Luis R. Ymson Jr., as there will be no more non-recurring gains like the P230-million insurance claims booked last year.

ACR is waiting for the Iligan city government to pass a resolution for the sale of the power plant.

The 100-MW plant, which was last operated in 2010, was sold to ACR subsidiary Conal Holdings Corp. after it was acquired by the local government due to a tax delinquency.

However, the power plant also needs clearance from the Commission on Audit before it resumes operation.

ACR’s energy and power businesses are held by Conal Holdings, Mapalad Power Corp., Sarangani Energy Corp., Alsing Power Holdings, Inc., Alsons Power Holdings Corp., Northern Mindanao Power Corp., and Alto Power Management Corp.