THE viability of Alcantara-led Alsons Consolidated Resources Inc. (ACRI) depends on the 105-megawatt (MW) coal-fired power plant in Zamboanga City.
ACRI Chairman and President Tomas Alcantara said the completion of the project would secure the viability of the company in the future.
The three-year construction of the project is expected to start in 2016, with San Ramon Power Inc. (SRPI) executing the building works. San Ramon is a wholly owned subsidiary of ACRI.
The coal-fired facility will be constructed in a 30-hectare site of the Zamboanga City Special Economic Zone and Freeport Authority in Sitio San Ramon.
Alcantara said Toyota Tsusho Corp. of Japan was tapped as partner for the San Ramon power plant under a 75-25 joint venture.
“Toyota as our long-time investor and partner has manifested interest. They are already part of the project development group,” Alcantara told reporters over the weekend.
The San Ramon power plant is expected to cost P13 billion.
Tirso Santillan Jr., ACRI executive vice president, said the company is now in the process of negotiating with various banks to finance up to 70 percent of the project.
SRPI already secured a 25-year power sales agreement with Zamboanga City Electric Cooperative (Zamcelco). Under the agreement approved by the Energy Regulatory Commission (ERC), SRPI will supply Zamcelco with 85 MW of plant output for P90.8 billion.