SAN MIGUEL Corp. (SMC) on Thursday is offering a 49-percent stake from its coal-fired power plant in Limay, Bataan to local cooperatives.
“We are now in talks with some cooperatives that buy electricity from us. Thus, we can no longer offer it to any other person or entity. They are our priority,” SMC President and Chief Operating Officer Ramon Ang told reporters on the sidelines of the stockholders’ meeting of Top Frontier Investment Holdings Inc..
Top Frontier is largest shareholder of diversified conglomerate SMC.
“Yes, [49 percent] is for acquisition,” Ang said in response to queries whether the talks involve the acquisition of the power plant or only the electricity supply.
A 49-percent acquisition leaves SMC’s power arm SMC Global Power Corp. with majority stake of 51 percent.
SMC Global has a 600-mega watt (MW) coal-fired plant in Limay, Bataan, which Ang earlier said costs around $2 million in investment per MW compared with $1 million per MW for an ordinary coal-fed power facility.
Last May, Ang announced the plan to build two power plants in Luzon and three in Mindanao with a combined capacity of 1,200 MW for $4.2 billion.