$180-M Mindoro geothermal plant to start drilling in July

CALAPAN CITY, Philippines – A Filipino-owned renewable energy company has announced that drilling operations for the $180-million geothermal project in Naujan, Oriental Mindoro will begin next month.

This developed as the Protected Area Management Board (PAMB) of the Department of Environment and Natural Resources (DENR) gave Emerging Power Inc. (EPI) the go-signal last June 5, as it approved a resolution declaring the project site in Naujan town a multi-use zone.

Earlier, the Department of Energy (DOE) granted EPI a geothermal renewable energy service contract. 

EPI, which will start providing electricity by mid-2016, will harness geothermal energy in selected areas in Naujan town.

The geothermal project, which will be put up in the Naujan barangays of Montelago, Montemayor, and Melgar-B, will provide 40 megawatts, with Oriental Mindoro and Occidental Mindoro each receiving 20 MW.

The EPI has signed power supply agreements (PSAs) with Oriental Mindoro Electric Cooperative (Ormeco) and Occidental Mindoro Electric Cooperative.

Earlier this year, Energy Secretary Carlos Jericho Petilla hailed the geothermal project as a milestone for Mindoro and the Philippines as a whole.

“Geothermal is a big step toward realizing our dream of a sustained and affordable electricity,” he said during the PSA signing between EPI and Ormeco.

Oriental Mindoro second district Rep. Rey Umali, who chairs the House energy committee, earlier welcomed the geothermal project, saying it is the “embodiment of the promise of EPIRA (Electric Power Industry Reform Act) for the Philippines to have reliable, renewable, sustainable, and affordable energy.”

According to the DOE website, the Philippines is the second largest producer of geothermal power in the world, next to the United States, with a total geothermal power capacity of 1,977.69 MW.  

The first geothermal plant under the Aquino administration, the 20-MW Maibarara power plant, began commercial operations in Sto. Tomas, Batangas last Feb. 8.