It is reported that San Miguel now owns the three coal operating contracts earlier held by Daguma Agro-Minerals Inc, Sultan Energy Philippines Corp and Bonanza Energy Resources Inc.
San Miguel last year bought the coal projects, located adjacent to each other for an undisclosed amount.
Energy Assistant Secretary Mr Ramon Oca said in stakeholders’ briefing in Mindanao that the the total mineable reserve at the coal mine site at Barangay Ned, Lake Sebu, South Cotabato was approximately 70 million metric tons, which could possibly support a mine-mouth power plant with an estimated capacity of 740 MW for 25 years.
Mr Oca said the impact of coal mining to the environment could be mitigated. He said responsible coal mining could be done and the site rehabilitated to bring it back to its original form.
The energy official said the community would gain significant benefits from the project, such as employment of skilled and non-skilled workers, creation of business opportunities and increased community income.
Mr Oca said the coal plant would use a relatively new and evolving technology, known as circulating fluidized bed, which involves efficient combustion process to control air pollutants without the need of installing external emission controls. The technology also produces low-cost electricity.
South Cotabato Rep. Daisy Fuentes, South Cotabato Gov. Arthur Pingoy Jr. and other top officials and leaders of multi-sectoral groups in the province organized the dialogue with the Energy Department to discuss Mindanao’s power supply situation.
Energy Secretary Jose Rene Almendras said in the same forum that a limited power reserve of about 17% might not be enough if a plant with an output of as minimal as 40 MW conked out. He assured that the department was adopting measures, such as pushing for coal projects, to meet the growing electricity demand in the region.
The government will bid out to investors three coal contracts for exploration in Cebu, Surigao del Sur and Zamboanga del Norte.
(Sourced from www.manilastandardtoday.com)
