Energy Development Corp. (EDC), the second-largest geothermal producer in the world, is going to start with the full construction of the 87-megawatt (MW) Burgos Wind Energy project, after it issued a notice to proceed (NTP) to its wind far contractor, Vestas of Denmark.
Over the weekend, EDC announced that it issued the NTP to its wind farm contractor, Vestas, which marks the start of actual construction works at the site for the initial 87-MW of what is intended to become a 150-MW wind farm. Following the issuance of NTP, the full construction effort could be undertaken at the 600-hectare site covering three barangays, namely, Saoit, Poblacion and Nagsurot in Burgos, Ilocos Norte. This is since the project’s groundbreaking ceremony in April.
“The BWP [Burgos Wind Project] is a major pillar of our P32-billion investment plan this year. We are proceeding as planned given our fully funded business plan and the proven Vestas technology,” said Richard Tantoco, EDC president and chief operating officer.
“We are pleased to announce that the construction of the BWP will now commence and we are confident that BWP will be the first to achieve commercial operations by 2014,” he added.
Vestas of Denmark, the leading wind turbine manufacturer in the world, will construct the 87-MW wind farm and ancillary equipment and facilities for the Burgos Wind Project.
The Department of Energy granted EDC the certificate of confirmation of commerciality for the project in May. The total estimated investment cost for the project is $300 million.
EDC recently disclosed that it has obtained an $80-million club loan facility and raised P7 billion from the issuance of fixed-rate bonds to boost its significant cash reserves.
The Burgos Wind Project is one of the largest investments to date in Ilocos Norte. Once operational, the project is expected to generate about 233 gigawatt hours of electricity a year, enough to power more than a million households and augment the Luzon grid’s dependable capacity, which needs an additional 4,200 MW in the next 10 years.
Madelaine B. Miraflor