FPHC sets P80-B capital expenditures

First Philippine Holdings Corporation (FPHC), the investment arm of the Lopez Group, is allotting P80 billion for capital expenditures (capex) this year—mainly for the expansion of its power generation business.

In an interview after the firm’s annual stockholders’ meeting, FPHC Chief Finance Officer Emmanuel Singson said the capex will be funded by a combination of debt and internally-generated fund.

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FPHC CFO Emmanuel P. Singson

He noted that, the bulk of the capex, amounting to P60 billion is allotted for First Gen Corporation while about P17 billion is earmarked for FPHC’s real estate businesses, consisting of Rockwell Land Corporation and First Philippine Industrial Park.

The P3 billion balance will be for the firm’s other subsidiaries including manufacturing arm First Philec, construction unit First Balfour, Therma Prime, and the medical services group.

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FPHC Chairman and CEO Federico R. Lopez

For First Gen, FPHC Chairman and CEO Federico Lopez said “Our target is to grow our low carbon energy portfolio to 13,000 MW by 2030, of which 9,000 MW will be renewables.”

“The construction of our LNG terminal has reached practical completion, and soon after we expect the commissioning of our floating storage and regasification unit vessel,” he added.

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FPHC President and COO Francis Giles B. Puno

FPHC President and COO Francis Giles Puno said “We are expecting the arrival of the BW Batangas Floating storage regasification vessel next month to enable the facilities to begin its commissioning activities.”

“We are also tendering for the first delivery of LNG shipment to be delivered in the August-September timeframe. This will allow us to start generating electricity from LNG shortly after additional commissioning activities,” he noted.

First Gen also continues its program to expand its geothermal and hydro capacities. In 2023, it will start the construction of the 100 megawatt (MW) Aya Pumped Storage Hydropower Project in Nueva Ecija, while continuing the pre-development activities for its run-of-river projects in Mindanao.

“We recently won the bidding for the 165 MW Casecnan hydroelectric plant as we continue to support the government’s privatization program,” said Puno.

He added that, “Across the 130 MW Pantabangan – Masiway and the 165 MW Casecnan hydro electric plant and the 100 MW Aya plant that we are constructing, this unique and strategic facility will have a total capacity of close to 400 MW and help advance First Gen’s renewable energy growth plans.”