Cebu-based steel product maker and property developer Chioson Group of Companies has expanded its power supply deal with First Gen Corp.
The Chioson Group, through its unit Puresteel Manufacturing Corp., signed a deal with First Gen’s subsidiary First Gen Energy Solutions, Inc. (FGES) for electricity supply from a clean and renewable source.
Under the contract which became effective last March 26, Puresteel now gets 600 kilowatts (kW) of RE for its facilities in Mandaue, Cebu, from geothermal power plants in Leyte of First Gen’s Energy Development Corp. (EDC).
With the new power supply contract, the Chioson Group now draws all its 2.1 megawatts (MW) power needs from EDC’s geothermal facilities to help its goal of achieving carbon neutrality by 2025.
Last year, the Chioson Group through Chioson Development Corp. (CDC) also reached an agreement with FGES for an initial 1,500 kW of green energy.
CDC manufactures and markets various high-quality steel products such as steel bars, nails, steel mattings, plates and wires while Puresteel makes and distributes other steel products like c-purlins, corrugated sheets, square tubes, rigid steel conduit pipes and rectangular tubes.
On the other hand, First Gen has a combined capacity of 3,495 MW with a portfolio ranging from natural gas, geothermal, hydro-electric, wind and solar power including EDC’s over 1,480 MW of total installed capacity.
