EDC allots $12M for Chile projs

MANILA, Philippines - Lopez-led Energy Development Corp. (EDC) has allotted $12 million in capital expenditures for its project in Chile, its top official said.

EDC president Richard Tantoco said the budget would be used to build roads, drilling pads and the water supply system.

“We have spent $2.5 million year-to-date,” Tantoco said.

Next year and in 2016, EDC expects to spend more for drilling works.

“In 2015 and 2016, we expect to spend another $46 million in drilling three wells and building associated facilities like camps. These efforts support EDC’s goal of having the Mariposa project become one of the pioneering geothermal plants in Chile,” he said.

In May last year, EDC signed a joint venture agreement with a Canada-based energy company for four geothermal projects in Chile and Peru.

The agreement, signed with Alterra Power Corp., a Canada-based renewable energy company, covers the development of the Mariposa project in Chile.

The agreement also covers geothermal projects located in Peru, namely Tutupaca, Loriscota and Crucero.

The joint venture partnership with Alterra strengthens EDC’s overseas presence.

Alterra is a leading global renewable energy company, which operates six power plants totaling 566 megawatts of capacity, including two geothermal facilities in Iceland, a geothermal plant in Nevada, British Columbia’s largest run of river hydro facilities and the province’s largest wind farm.

The Lopez-led firm has also partnered with Australian Hot Rock Ltd. to establish a joint venture company for the development of the Quellaapacheta geothermal project in Peru.

EDC said the two companies established Geotermica Quellaapacheta Peru SAC for the project. Similar to the Mariposa project in Chile, EDC owns 70 percent of the joint venture, which would develop the Quellaapacheta project.

EDC, an integrated geothermal energy producer has a portfolio of steam fields and power plants in the Philippines.

It remains the largest producer of geothermal energy in the Philippines, accounting for 62 percent of the country total installed geothermal capacity.