First Gen allots P14.3B capex for 2021

    186

    First Gen Corp. said that its capital expenditure (capex) for next year will likely be at around P14.3 billion,  bulk of which represents spending  for the planned liquefied natural gas (LNG) terminal in Batangas, maintenance of existing natural gas-fired power plants and for projects of subsidiary Energy Development Corp. (EDC).

    Francis Giles Puno, First Gen president and chief operating officer, at a virtual stockholders’ briefing yesterday said the LNG terminal would require a funding of up to $110 million (P5.4 billion) next year.

    “The COVID-19 situation will most likely impact the global supply chain which could lead to some delays in the manufacturing of equipment but we are looking to start construction by this quarter,” Puno said.

    A total of $18.3 million (P898 million) will go to  natural gas-fired power plants covering operations and management agreements with Siemens to equip the facilities with shelter-in-place housing and other improvements to extend its life.

    Puno said EDC will have a maintained capex of up to P8 billion for next year.

    “However, the COVID-19 situation challenges our ability to execute, given various levels of quarantine across our sites. We have a plan in place to recover and to ramp up activities quickly once delivery of materials and mobilization of manpower can resume,” the official explained on the effects of the pandemic to EDC.

    At present, First Gen has 3,492 megawatts of installed capacity in its portfolio from natural gas, geothermal, hydro-electric, wind and solar power sources.

    LEAVE A REPLY

    Please enter your comment!
    Please enter your name here