PSALM commences Mindanao Coal IPPA appointment

25 Mar 2015

With the publication of the Invitation to Bid (ITB), the Power Sector Assets and Liabilities Management (PSALM) Corporation has commenced the selection and appointment of Independent Power Producer Administrator (IPPA) for the 200 MW Mindanao Coal-Fired Thermal Power Plant (Mindanao Coal).

The ITB was published in local newspapers beginning on Wednesday (25 March 2015) until Friday (27 March 2015).

"The Mindanao Coal IPPA selection is the second privatization activity of PSALM for this year, following the launch of the IPPA selection for the Bulk Energy of the Unified Leyte Geothermal Power Plants (ULGPP) two weeks ago," PSALM President and Chief Executive Officer Emmanuel R. Ledesma, Jr. said.

The ITB specified that interested parties must submit, no later than 5:00 p.m. of 07 April 2015, a Letter of Interest in order to participate in the bidding process.

Other requirements include the execution of a Confidentiality Agreement and Undertaking with PSALM, and payment of a nonrefundable participation fee of PhP120,000.00, either in cash, manager's check or cashier's check. Deadline for submission of said requirements is on or before 5:00 p.m. on 13 April 2015.

The Pre-bid Conference, which primarily discusses PSALM's bidding procedures, is on 06 May 2015. Due diligence for prospective bidders will begin on 13 April 2015 until two (2) business day prior to the Bid Submission Deadline.

The bidding for the Mindanao Coal IPPA is on 23 September 2015, with the Bid Submission Deadline set at exactly 12:00 noon. As in PSALM's previous biddings, the opening and evaluation of bids would follow immediately at 12:30 p.m.

Located in Misamis Oriental, the Mindanao Coal plant was constructed in 2006 under a 25-year Build-Operate-Transfer (BOT) - Power Purchase Agreement scheme. The cooperation period with the operator, STEAG State Power Inc., officially ends in 2031.

Corporate Communications Division
Tel. No. (632) 9029067