Alsons Consolidated Resources Inc. (ACR) has re-issued P694 million from the first P1.5 billion tranche of the company’s commercial paper issuance with the Philippine Dealing and Exchange Corp.
The company said proceeds will be used to provide interim funding for the expansion of its renewable energy portfolio.
ACR’s commercial papers issuance earlier received a PRS A plus with a stable outlook issuer credit rating from the Philippine Rating Services Corp. which cited the firm’s capacity to meet financial commitments apart from the expected increase in power demand in Mindanao due to positive growth prospects.
ACR is currently building a P4.5 billion, 14.5 megawatts (MW) run-of-river hydroelectric power plant at the Siguil river basin in Sarangani Province which is expected to begin commercial operations in 2022.
“We are happy to once again tap the short-term capital market for our working capital needs. These are exciting times ahead for ACR as we begin to focus on building up our RE portfolio and this facility will greatly help us in these efforts,” Robert Yenko, company chief financial officer, said in a statement.
The hydro power plant which will provide power to Sarangani Province, General Santos city and key municipalities of South Cotabato is the first of eight run-of-river hydro plants that the company plans to develop in several areas in Mindanao, Negros Occidental and Western Visayas.
The next two hydroelectric power facilities in the pipeline for ACR are the 38 MW Sindangan hydropower project in Zamboanga del Norte and the 42 MW Bago hydropower plant in Negros Occidental.
Currently, the company’s operating power assets are the 210 MW Sarangani Energy Corp. coal plant as well as the 103 MW Mapalad Power Corp. in Iligan city, the 55 MW Southern Philippines Power Corp. in Sarangani and the 100 MW Western Mindanao Power Corp. in Zamboanga which are all diesel-fired power facilities.
