SP New Energy Corp. (SPNEC) is expecting to complete the conversion of about 3,000 hectares of land in Nueva Ecija and Bulacan for industrial use by the fourth quarter of 2023.

“Converting over 3,000 hectares for industrial use is the most significant value driver for SPNEC, and we will provide further updates as we work to create value on this for our shareholders,” said Leandro L. Leviste, president and chief executive officer of SPNEC, in a media release on Tuesday.

SPNEC said that it had secured off-take agreements for its projects in 2022 and is now preparing the industrial land conversion in the two provinces.

The renewable energy firm said it had also secured the majority of its target land and is now in the process of completing the necessary documents for it.

The company has set until the end of the first quarter of 2023 to complete the submission for the land conversion.

SPNEC, through its parent firm Solar Philippines Power Project Holdings, Inc., has a joint venture project with Terra Solar Philippines, Inc., which will supply the 850-megawatt (MW) mid-merit requirement of Manila Electric Co. (Meralco). The power will be sourced from SPNEC’s 3.5-gigawatt (GW) solar and 4.5-gigawatt-hour battery projects in Nueva Ecija and Bulacan.

Under the power supply agreement it forged Meralco, Terra Solar needs to deliver 600 MW by Feb. 26, 2026, and an additional 250 MW starting on Feb. 26, 2027.

“Land underpins an entire project, and our landbank in Nueva Ecija and Bulacan in particular is unique, in terms of its scale and proximity to Manila,” Mr. Leviste said.

Once the industrial land conversion is completed, SPNEC claims that its landbank in Nueva Ecija and Bulacan will be the largest industrial development in the Philippines.

At the local bourse on Tuesday, shares in the company closed unchanged at P1.20 each. — Ashley Erika O. Jose