Economy


Basic gives up hydro to focus on geothermal




Posted on January 29, 2016


BASIC ENERGY CORP. has decided to give up four hydropower service contracts covering four separate projects, the company said in a disclosure to the stock exchange.

“The board in its regular meeting held on Jan. 27, 2016, upon recommendation of management, approved to return to the Department of Energy its four hydropower service contracts, covering Puntian 1, Puntian 2, Malogo 2 and Talabaan,” the company said.

The company said the move was in line with a streamlining of its renewable energy projects to focus on geothermal service contracts and other projects in the pipeline.

“Likewise, the board of director approved management’s proposed budget to bring the Mabini Geothermal project to drilling in May this year. The approved budget includes land rights, civil works, and drilling and well testing costs,” the company said.

The four projects are all in Negros Occidental, on the rivers of Puntian, Malogo and Talabaan.

Basic Energy has five geothermal development contracts. One was awarded in 2007 in Mabini, Batangas, while the rest were awarded in 2013. The four projects are in Bataan, Mountain Province and Ifugao, Camarines Sur and Albay, and Sorsogon. -- Victor V. Saulon