EDC’s Bacman Unit 1 resumes operations

MANILA, Philippines – Lopez-led Energy Development Corp. (EDC) has resumed operations of its 55-megawatt (MW) Bacon-Manito (Bacman) Unit 1 geothermal power plant in Albay.

In a disclosure to the Philippine Stock Exchange (PSE) on Tuesday, June 4, EDC said the company was able to finish the maintenance acitivity for the geothermal plant on time.

“The planned maintenance for the replacement of Bacman Unit 1’s hot well pump was completed as scheduled. As of 6:00 AM June 4, Bacman Unit 1 is normally operating at 55 MW,” the company said.

EDC temporarily shut down Unit 1 in June 2012 to make way for the hot well pump replacement. The company conducted several tests before the resumption earlier today.

In March, the company temporarily operated the plant before testing it again a month after by loading it up to 28 MW or around 50% of its capacity.

The company, however, provided no updates for Bacman Unit 2.

The Lopez-led energy firm shut down Unit 2 in February due to a damaged turbine blade.

The costs of the maintenance and resumption of operations of both units amounted to about $100 million, according to data from the EDC.

INFOGRAPHIC: Top power players in the Philippines

Foregone revenues from the 55 MW Bacman Unit 1 are estimated to reach about P160 million. The company expects P4 billion to P4.2 billion yearly revenues from both units once full operations resume.

EDC acquired the Bacman plant from the government with a winning bid of $28.25 million in an auction conducted by the Power Sector Assets and Liabilities Management Corp. (PSALM) in May 2010.

PSALM is the agency tasked to handle the privatization of state-owned National Power Corp. – Rappler.com