Biliran Geothermal Inc. (BGI) is eyeing the commercial operations of a 40-50 megawatt (MW) geothermal power plant in the province by 2016, according to an official from the Department of Energy (DOE).
Mario Marasigan, director of the DOE’s Renewable Energy Management Bureau, on Wednesday said BGI is currently in the pre-development stage of the project.
“Biliran [BGI] has declared commerciality, we’re evaluating their declaration,” Marasigan told reporters.
Initially, their successful identification of a geothermal resource indicated a potential 20 MWs, but a declaration of commerciality is for about 40-50 MWs, Marasigan explained.
“Based on declaration of commerciality, they have fully identified sources of 40-50 MWs, they will just redevelop holes, additional holes will be more on rejection. Then, it’s a power plant,” he said.
Marasigan, however, said that they are “a little cautious” if BGI can deliver 40-50 MWs as proceeding with the plan will primarily depend on further drilling by the company and the capacity of the power grid to receive the additional supply.
“It depends upon the data they will give us, where they will give out the power. If our grid is not ready, it will go to waste,” he said.
The power plant is projected to be completed by 2016.
Energy Secretary Carlos Jericho L. Petilla has already conducted a site inspection on BGI’s ongoing drilling operations.
Data from the Energy department showed that the Biliran geothermal concession covers an area of 260 square kilometers in Barangays Cabibihan and Villa Vicenta in the municipality of Caibiran.
The project was awarded to BGI in July 2008.
BGI is a joint venture between Filtech Energy Drilling Corp. (FEDCO) and Iceland-based Orka Energy Holding ehf.