The Philippines' PetroEnergy Resources Corp. has signed an energy sales agreement with partner Trans-Asia Oil and Energy Development Corp. to purchase electricity generated by the 20 megawatt Maibarara geothermal project, which is schedule to come online by September 2013.
Philippines' PetroEnergy Resources Corp. announced the news in a filing with the Philippine Stock Exchange.
In a separate filing with the Philippine Stock Exchange Trans-Asia, a licensed wholesale aggregator in the deregulated power market, emphasized that energy sales agreement with Trans-Asia Oil and Energy Development Corp. "covers a 20-year period," The Manila Bulletin reported.
Maibarara Geothermal Inc. is constructing the geothermal power facility. PetroEnergy Resources said in a press release, "Maibarara Geothermal Inc. will sell the entire output of the plant starting in 3rd quarter of 2013, when the power facility is targeted to begin commercial operations. The energy sales agreement will be subject to review every five years."
The Maibarara Geothermal Inc. 20 megawatt Maibarara geothermal project's output will be channeled to Luzon's electrical power grid. PetroEnergy Resources Corp. PECR's subsidiary Petrogreen Energy Corp. will have a 65 percent equity stake in the Maibarara geothermal facility while Trans-Asia will hold a 25 percent equity share, with state-owned Philippine National Oil Company-Renewables Corp. retaining the remaining 10 percent.
By. Charles Kennedy, Deputy Editor OilPrice.com
Charles is a writer for Oilprice.com More