SM Investments : Philippine Geothermal’ s Ongoing Exploration to Boost Power Security

The Philippine Geothermal Production Company, Inc. (PGPC) has recently embarked on the exploration and development of new geothermal energy sources in various parts of Luzon. The company's five new project concession sites are located in geothermal-rich areas within the Provinces of Kalinga, Benguet, Cagayan, Quezon, Camarines Norte, and Camarines Sur.

These projects aim to establish fully operational geothermal fields capable of generating between 250 to 400 megawatts (MW) of additional renewable baseload power from which energy can be readily dispatched to power plants and other prospective off-takers. This will help bolster power security for Luzon and advance the country's renewable energy objectives.

"With these projects slated for completion within the next 5 to 7 years, they will be sources of additional renewable baseload power that will help reduce the risk of power supply shortages in the Luzon power grid," said PGPC President Napoleon L. Saporsantos, Jr. "They will also play a pivotal role in the Department of Energy's target of having renewable energy sources account for at least 50% of the country's total power capacity by 2040."

Mr. Saporsantos also highlighted the socioeconomic benefits of the projects, stating, "These projects from the exploration and development phase all the way up to commercial operation are expected to create over 2,000 jobs, with priority given to hiring qualified local residents in our host communities."

Established as Philippine Geothermal, Inc., PGPC pioneered Southeast Asia's first commercial geothermal power project in 1971. The company currently operates the Tiwi steam field in Albay and the Mak-Ban steam field spanning Laguna and Batangas. These facilities have been pivotal in supplying renewable geothermal energy to client power plants since 1979.

Throughout its operations, PGPC has maintained a steadfast commitment to community engagement, focusing on educational advancement, environmental stewardship, and local livelihood enhancement initiatives.

PGPC has operated as a wholly owned subsidiary of SM Investments Corporation (SMIC) since 2017. SMIC President and CEO, also PGPC Chairman, Frederic C. DyBuncio, affirmed, "SM's investment in PGPC underscores the group's dedication to help create a more sustainable future."

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