620-MW Limay combined cycle plant sale opens

19 May 2008

The Power Sector Assets and Liabilities Management Corporation (PSALM) today (19 May 2008) formally opened the sale of another major generating asset - the 620-megawatt (MW) Limay Combined Cycle Power Plant - with the publication of the Invitation to Bid (ITB) in the country's major newspapers. The ITB will be published until Wednesday, 21 May 2008.

As part of the initial requirements stated in the ITB, interested parties are required to submit a Letter of Interest, execute a Confidentiality Agreement and Undertaking, and pay PSALM a non-refundable participation fee of USD2,000. The deadline for submission of all these requirements is 5 p.m., 30 May 2008.

The Bidding Package, which includes the Bidding Procedures, will be issued to compliant parties beginning 19 May until 30 May 2008.

PSALM also announced that the Due Diligence period will be from 21 May to 28 July 2008. The Pre-bid Conference for qualified participants of the Limay plant bid is scheduled on 04 June 2008.

PSALM has set 30 July 2008 as the Bid Date for the Central Luzon-based power asset.

A combined-cycle power plant such as the Limay plant generates electricity in two ways: A combination of bunker and diesel fuel is primarily used to power its gas turbines. To improve fuel efficiency, the plant utilizes the heat of exhaust gas from the gas turbines to boil water inside the boiler which produces steam that will drive the steam turbines.

Commissioned in 1993, the Limay combined-cycle power plant comprises two 310-MW modules, Blocks A and B, which consist of three 70-MW gas turbines and a 120-MW steam turbine, respectively. Located in the province Bataan, approximately 145 kilometers west of Manila, the plant is designed to meet the base-load demand of the Luzon grid.

Strategic Communications and Partnership Division
Tel. No. (632) 9029067