PHOENIX Petroleum Philippines, Inc. said on Monday a subsidiary signed a memorandum of agreement with a US-based company to bring in power generation sets that run on different gases.
The listed company told the stock exchange that Phoenix Pilipinas Gas and Power, Inc. signed the deal on Dec. 11 with Mesa Natural Gas Solutions, LLC., which is based in Casper, Wyoming.
“Through this valuable project, we will be able to further support the Philippine government’s thrust to broaden our energy mix and move closer towards cleaner energy. Gas, being available in many parts of the world, will allow us to diversify and stabilize our energy sources as we help the country better secure its energy requirements,” said Henry Albert R. Fadullon, Phoenix Petroleum chief operating officer, in a statement.
The generation sets run on raw wellhead gas, liquefied natural gas (LNG), compressed natural gas (CNG), and propane rich liquefied petroleum gas (LPG).
“Considering the innovative properties of this technology, remote areas of the country that suffer from unreliable power supply and quality can greatly benefit from it, including businesses in the hospitality and manufacturing industries,” Mr. Fadullon said.
He said the genset technology will allow the use of propane-rich LPG as a transition fuel while the availability of LNG is still being developed. Phoenix LPG Inc. will supply propane rich LPGas the feed-stock to the Mesa gensets.
Phoenix Petroleum said the agreement will make the genset units available in the Philippines with the corresponding commissioning, training, and technical support from the US. Both companies expect the deal to promote the use of gas, and broaden the Philippines’ energy mix.
It said the project also aims to contribute to the Department of Environment and Natural Resources’ initiatives on clean development mechanism, allowing its clients to earn carbon credits.
The listed company described Mesa as having an estimated power generation fleet of 450 megawatts (MW). Last year, it installed at least 25 MW of power for microgrid clients.
On Monday, shares in Phoenix Petroleum slipped by 0.17% to close at P11.48 each. — Victor V. Saulon
