MINDANAO-FOCUSED and Alcantara-led Alsons Consolidated Resources (ACR) reported a 42-percent surge in consolidated revenues to P7.07 billion in 2016 from P4.97 billion in 2015, mainly driven by the earnings contribution from the first section of its 210-megawatt coal-fired power plant in Sarangani Province.
In a disclosure to the Philippine Stock Exchange (PSE) on Thursday, the company said that the main revenue contributor last year was the first 105-MW section of the 210-MW Sarangani Energy Corporation (SEC) baseload power plant in Maasim, Sarangani.
The first section of the SEC plant began operating in April of 2016, providing power to over three million people residing in the provinces of Sarangani, Compostela Valley, Agusan del Norte, and Agusan del Sur; the cities of General Santos, Iligan, Butuan; and other major population centers of Mindanao.
Construction of the second 105 MW section of the SEC plant began in January this year. Upon its targeted completion in the first half of 2019, SEC Section 2 is set to contribute another 105 MW of baseload power to benefit residents of South Cotabato, Davao del Sur, Zamboanga del Norte, Zamboanga del Sur, Cagayan de Oro City, and other key areas of Mindanao. At a cost of nearly $600 million, the SEC power plant is the single largest investment in Sarangani Province and the entire Region 12.
ACR’s operating profit in 2016 grew 25 percent to P1.89 billion from the previous year’s P1.51 billion, while earnings before interest, taxes, depreciation and amortization (EBITDA) jumped 52 percent to P2.69 billion in 2016.
Consolidated net income in 2016 dipped by 8 percent to P636 million from P691 million in 2015 due mainly to finance charges on the project loan for the SEC plant’s first section.
Net income attributable to the parent rose 69 percent to P317 million in 2016, with earnings per share rising to P0.05 from P0.029 in 2015.
Aside from SEC, ACR operates three diesel power facilities: the 103 MW Mapalad Power Corporation (MPC) diesel plant in Iligan City; the 55 MW Southern Philippines Power Corporation (SPPC) facility in Alabel, Sarangani; and the 100 MW power plant of the Western Mindanao Power Corporation (WMPC) in Zamboanga City.
Within 2017, ACR expects to begin construction of the 15 MW Siguil River run-of-river hydroelectric plant in Maasim, Sarangani; and the 105 MW San Ramon Power, Inc. (SRPI) baseload coal-fired power plant in Talisayan, Zamboanga City.
The 15 MW Siguil run-of-river power plant will be ACR’s first renewable energy venture. The hydropower project is expected to be up and running by 2020. The company plans to develop other run-of-river hydropower projects with a total potential capacity of 185 MW in different places in Mindanao and Negros Occidental.
The 105 MW SRPI plant is projected to begin operating in late 2020 to provide baseload power to Zamboanga City and other key areas in Mindanao.
ACR-affiliated power facilities are expected to have a total generating capacity of 588 MW by the end of 2020. The said capacity will fulfill more than 25 percent of Mindanao’s projected peak power demand for that year.