More funding for Wind Farm

MORE FUNDS have been earmarked to partially fund ongoing construction of Trans-Asia Oil and Energy Development Corp’s 54-megawatt (MW) wind energy project in San Lorenzo, Guimaras.

In a disclosure on Friday, Trans-Asia said it disbursed P54.077 million from proceeds of its stock rights offering in November 2012, through which the company raised P1.627 billion.

The latest amount adds to the P935.435 million released since June last year to fund the same project.

“The funds will be used for expenses in relation to the company’s investment in the 54-MW wind energy project currently under construction in San Lorenzo, Guimaras by Trans-Asia Renewable Energy Corp., the company’s wholly owned subsidiary,” the disclosure read.

Trans-Asia, in December last year, secured a P4.3-billion loan from Development Bank of the Philippines and Security Bank Corp. to fund the wind project.

According to the company’s 2012 annual report, the project is estimated to cost around P6.3 billion, 70% of which will be financed through debt and the balance through equity.

The report also noted that construction of the wind farm will involve installation of 27 wind turbines with installed capacity of 2 MW each.

Project construction began last year and is expected to be completed late this year.

Trans-Asia engages in oil and gas exploration and development, as well as power generation.

The firm currently owns and operates 20-MW diesel plant in La Union through wholly owned subsidiary CIP II Power Corp.

It also holds a 25% stake in Maibarara Geothermal, Inc. which owns and operates a 20-MW geothermal power plant in Sto. Tomas, Batangas.

Through South Luzon Thermal Energy Corp., which is 50%-owned by Trans-Asia, the parent is also building a 270-MW MW coal-fired power plant in Calaca, Batangas.

Profit of the company jumped 36.3% to P474.1 million as of end-September last year from P347.84 million in the same nine months in 2012. Revenues more than doubled to P1.58 billion from P779.35 million while costs and expenses similarly surged to P849.77 billion from P274.49 billion.