Written by Paul Anthony A. Isla / Reporter
Friday, 07 May 2010 10:05
GOVERNMENT-RUN Power Sector Assets and Liabilities Management Corp. (PSALM) declared on Wednesday the Lopez-led Bacon-Manito (BacMan) Geothermal Inc. as the highest bidder for the 150-megawatt (MW) Bacon-Manito (BacMan) geothermal power plant package.
In a statement, PSALM said Bac-Man Geothermal’s offer of $28.25 million for the Bicol-based geothermal plants bested the $17.8-million bid of Aboitiz-led Therma Power Inc.
PSALM said both bids exceeded the reserve price set by the PSALM board for the BacMan facilities.
PSALM said the Lopez group is among the most active participants in the government’s power-privatization program, having successfully acquired five plant portfolios, including the 1.6-MW Agusan and the 112-MW Pantabangan-Masiway hydropower plants, and the 305-MW Palinpinon-Tongonan geothermal power plant package.
Adhering to its bidding policy, PSALM will formally declare BacMan Geothermal as the winning bidder for the BacMan plants as soon as it has verified the accuracy, authenticity and completeness of the bidding documents that the company has submitted.
With the successful sale of the BacMan plants, PSALM’s privatization level has reached the 91.73 percent mark for all its generation assets in the Luzon and Visayas grids.
PSALM said it expects to complete the privatization of these assets this year. Located in the provinces of Albay and Sorsogon, the BacMan plant package consists of two steam plant complexes.
The BacMan I geothermal facility is composed of two 55-MW turbines, which were both commissioned in 1993.
BacMan II, on the other hand, consists of two 20-MW units, namely, the Cawayan located in barangay Basud and the Botong in Osiao, Sorsogon City.
The Cawayan unit was commissioned in 1994 and the Botong unit in 1998.
The Energy Development Corp., also a Lopez-led company, supplies the steam that fuels the BacMan geothermal power plants.