Citicore, San Miguel tie up for 153-MW solar venture in Bataan

Citicore, San Miguel tie up for 153-MW solar venture in Bataan

MANILA, Philippines — Citicore Renewable Energy Corp. (CREC) is teaming up with San Miguel Global Light and Power Corp. (SMGLP) to strike solar gold in Mariveles, Bataan.

The two companies signed an investment and shareholders’ agreement last Friday to jointly develop and operate a 153.5-megawatt (MW) solar power plant in Mariveles.

“The parties shall collaborate and cooperate in the financing, construction, ownership, operation and maintenance of the plant through the subscription to a special purpose entity,” CREC told the Philippine Stock Exchange on Monday.

The joint venture is expected to add 76.75 MW to CREC’s solar energy capacity as part of efforts to deliver 1,000 MW of ready-to-build and under-construction solar power capacity annually for the next five years.

The financial details of the deal were not immediately made available.

CREC will initially own 49 percent in the joint venture, while SMGLP, a unit of SMC Global Power Holdings, the power arm of Ramon Ang-led San Miguel Corp., will hold a 51-percent interest.

During the construction stage, the power company of tycoon Edgar Saavedra will subscribe to additional shares, resulting in a 50:50 ownership split between CREC and SMGLP.

The deal’s closing is subject to several conditions.

SMGLP is engaged in the business of generating and storing electricity and processing fuel alternatives for power generation, such as exploration, development and utilization of renewable energy resources.

CREC, on the other hand, is a pure-play energy platform focused on and committed to the development of clean energy projects and has a portfolio of 10 operating solar assets with a combined installed capacity of 285.1 MW.