July 19, 2018, 12:07 am
Facebook iconTwitter iconYouTube iconGoogle+ icon

Higher output drives coal miner’s income in first sem

Semirara Mining and Power Corp. (SMPC) reported a 24 percent increase in its first semester net income to P7.86 billion, from P6.36 billion a year earlier, with better performance of its coal production and power generation businesses.

Coal production jumped 25 percent year-on-year to 7.35 million metric tons (MT), from 5.88 million MTa year ago. Production is inclusive of low-grade coal of 454,000 tons in the first half of 2016 and 772,000 tons in the same period this year.

But coal sales volume dropped four percent to 6.3 million MT, from last year’s 6.6 million, mainly due to timing difference of export deliveries. The coal business contributed P4.23 billion to the company’s total income.

Meanwhile, energy generation of Sem-Calaca Power Corp. rose 14 percent to 1,383 gigawatt hours (GWh), from 1,212 GWh last year. SMPC said even if unit 1 was on maintenance shutdown for the entire first quarter and came back online in mid-April this year, average load increased to 244 megawatts (MW), from 184 MW last year.

Total energy sold by the plant climbed one percent to 1,401 GWh from 1,390 GWh and contributed P2.14 billion to SMPC’s net income.

Another subsidiary, Southwest Luzon Power Generation Corp., saw an eightpercent increase in generation to 817 GWh, from 754 GWh last year. Both of its units started commercial operation in August 2016 as its certificate of compliance from the Energy Regulatory Commission, which allows the plants to run at full capacity of 150 MW each, was issued last May.

Total average load grew six percent from last year as total energy sold rose two percent to 771 GWh, from 757 GWh last year. It contributed P1.5 billion to SMPC’s net income.

Earlier, the company said it invested up to P3.5 billion to modernize its fleet of trucks. Among the equipment already delivered were 46 dump trucks, six hydraulic excavators and other support machinery. By yearend, SMPC expects the shipment of 21 more heavy equipment.

Itsaid this move is in line with its goal to increase coal production to 16 million MT in the next two to three years, to align with the national government’s push for power stability, optimal energy pricing and modernized infrastructure.

SMPC is the only power producer in the country that owns and mines its own fuel source, allowing it to generate affordable baseload power for the Luzon and Visayas grids. 

The coal that it mines in Antique is graded as sub-bituminous with a heating value of 9,300 British thermal unit per pound, currently the highest quality of coal being mined in the country.
No votes yet

Column of the Day

Tomodachi Tangle

Bernard Karganilla's picture
‘Jose Rizal’s life is serialized as a Japanese manga (comics).’

Opinion of the Day

The Departure Lounge

Philip S. Chua's picture
By PHILIP S. CHUA | July 19, 2018
‘Growing old is a great privilege denied many. Let us relish every second we have left.’