SEMIRARA Mining and Power Corp. (SMPC) said on Thursday that its subsidiary Sem-Calaca Power Corp. (SCPC) had signed a technical consultancy contract with two Japanese firms.
“Drawing on years of expertise in developing and manufacturing power generation equipment, our new partners can provide services that shall improve the value of our power plants,” Maria Cristina C. Gotianun, SMPC president and chief operating officer, said in a statement.
In a disclosure to the stock exchange, the company said the unit signed the contract with Toshiba Energy Systems & Solutions Corp. (Toshiba ESS) and Kansai Electric Power Co., Inc. in Osaka, Japan.
Under the 14-month contract, Toshiba ESS and Kansai will look into and provide technical services to the two power plants of SCPC, and propose technical solutions to improve the availability, operations, and maintenance of the said facilities.
“The strong growth of the Philippine economy has been driving domestic electricity demand, which highlights the need for stable power plant operations and power supply,” SMPC said.
SMPC is the only vertically integrated energy company in the Philippines that mines its own fuel source, which is coal. It supplies electricity to the Luzon grid, which usually experiences thin reserves during the summer season because of higher demand and forced outages of multiple plants.
On Thursday, shares in SMPC slipped by 0.63% to close at P23.70 each. — Victor V. Saulon
