The holding company of the Alcantara Group is allotting approximately $1.3 billion for power investments as it gears up for six power projects, which forms part of the group’s expansion program.
Tomas Alcantara, Alsons Consolidated Resources Inc. (ACR) president and chairman, told reporters that for the six power projects that are part of the company’s expansion program, the firm is looking at a combined investment cost of around $1.3 billion.
In the company’s annual stockholders meeting, he announced ACR’s reacquisition and takeover of the Iligan Diesel Power Plant, now operated by Mapalad Power Corp., an ACR subsidiary.
He also said that ACR is going to double its current generating capacity to make it a supplier of about 25 percent of Mindanao’s power demand by 2016.
“With two plants going up in Sarangani and Zamboanga, we are looking forward to generate an aggregate of 463 megawatts (MW)—more than one-fourth of the Department of Energy’s projected 2016 Mindanao peak power demand of 1,829 MW,” he said.
The remaining power projects of ACR are a coal-fired plant and a hydroelectric power plant both in Sarangani, and a coal-fired and gas turbine power plant in Tampakan.
Alcantara specified that the coal-fired and gas turbine power plant the firm intends to put up in Tampakan will be operational in mid-2019, while the other power plants are set to be completed around 2015 to 2016.
He mentioned that the five projects that are set to open around 2015 to 2016 have a total investment cost of $450 million, while for the Tampakan project, the company is looking to spend around $900 million.
All in all, ACR is looking to pour in around $1.3-billion investment for all of its power projects.
Meanwhile, ACR reported that its net income attributable to equity holders of the parent moved up 11.6 percent to P509 million in 2012 from P456 million in 2011.
Its consolidated revenues also rose 5.5 percent from P2.912 billion to P3.073 billion in the same period.
Alcantara said that a key driving force behind robust earnings lay in ACR subsidiary LiMA Technology Center in Malvar, Batangas, an industrial estate and joint venture with Japan’s Marubeni Corp., which posted a 34-percent upsurge in land sales and rental income, and a 16-percent increase power and water utility sales to locators.