24 Sep 2014
FDC Misamis Power Corporation emerged as the highest bidder for the Power Sector Assets and Liabilities Management (PSALM) Corporation's selection and appointment of the Independent Power Producer Administrator (IPPA) for the output of the Mindanao I and II (Mt. Apo 1 and 2) Geothermal Power Plants, PSALM President and Chief Executive Officer Emmanuel R. Ledesma, Jr. disclosed.
Mr. Ledesma specified that FDC Misamis, which offered PhP128 million (PhP128,000,888.88) in Monthly Payment for PSALM's first Mindanao IPPA, edged out the PhP50-million (PhP50,000,000.00) bid of SMC Global Power Holdings Corporation, which also participated in the bidding held on Wednesday (24 September 2014). Of seven (7) prequalified bidders, two (2) submitted bids before the 12:00 noon bid submission deadline set by PSALM.
Mr. Ledesma noted that only the bid submitted by FDC Misamis met the Reserve Price set by the PSALM Board of Directors for the subject bidding.
Mr. Ledesma also qualified that PSALM will still verify the accuracy, authenticity, and completeness of the documents submitted by FDC Misamis, including the manager's check and its full compliance with the Bidding Procedures, before issuing a Notice of Award and officially declaring the company as the winning bidder.
PSALM officially launched the Mt. Apo IPPA auction on 14 May 2014 through an Invitation to Bid published in local newspapers.
The auction generated interest from nine (9) prospective investor groups which completed PSALM's initial requirements. The list was narrowed down to seven (7) investor groups after PSALM evaluated the Documentary Deliverables it had received from the prospective bidders.
The Mt. Apo 1 and Mt. Apo 2 geothermal power plants have a rated capacity of 54.24 megawatts (MW) each, and are located in Kidapawan City, North Cotabato. Owned and operated by the Energy Development Corporation, the power plants were commissioned on 15 February 1997 (Mt. Apo 1) and 17 June 1999 (Mt. Apo 2) under a build, operate, and own contract scheme. The cooperation period for both plants is 25 years, and the same will expire on 15 February 2022 and 17 June 2024 for Mt. Apo 1 and 2, respectively.
The IPPA will manage output of Mt. Apo 1 and 2 plants.
Strategic Communications and Partnership Division |