“EDC signed separate two-year bridge facilities totaling P2.7 billion with Philippine National Bank and Security Bank Corp. to partly finance the construction of Phase 2 of the 150-megawatt [MW] Burgos Wind Farm while the company is arranging the project financing,” EDC Investor Relations Manager Erudito Recio said.
The company plans to raise $315 million for the wind project. But apart from this, it decided to secure bank loans to bridge finance the project, which is undergoing an expansion by 63 MW more from the current 87MW.
The project will be completed as follows: 87 MW (Phase 1) by the last quarter of this year and 63 MW (Phase 2) by the first quarter of 2015.
EDC has signed on for the installation of an additional 21 wind turbines for the expansion. This raises the total project investment cost to $450 million from $330 million, and once fully completed, increases the total generating capacity to 150 MW from 87 MW.
It will be the largest operating wind farm in the Philippines, generating approximately 365 gigawatt-hours annually to supply electricity requirements of over a million households.
It is expected to help address the power supply situation in the Luzon grid, which needs an additional 4,200 MW in the next 10 years due to the projected 4.5-percent annual increase in electricity demand.
EDC has selected Vestas of Denmark, the world’s largest wind turbine manufacturer, for the construction of the Burgos project. It will also supply the 29 V90-3.0 MW wind turbines.
EDC is the world’s largest integrated geothermal producer and one of the leading renewable-energy companies in the Philippines with a portfolio of 1,150 MW of geothermal, 132 MW of hydroelectric plants, and soon the 150 MW Burgos wind project.
Aside from the Burgos project, EDC is also pursuing other wind projects in Baloi-Pagudpod, Ilocos Norte and Camiguin.