First Gen Corp., the power generation arm of the Lopez family, expanded its renewable energy portfolio through a new supply agreement with Dyna Drug Corp., marking the latest move in the company’s push to grow its geothermal footprint before the end of the year.

The utility announced in a statement that it will deliver 145 kilowatts of geothermal energy to Dyna Drug, a major pharmaceutical wholesaler and distributor. The clean power is earmarked for the company’s warehouse facilities in Pasig and Quezon City.

Electricity for the contract will be drawn from the Bacon-Manito geothermal facility in the Bicol region. The plant is operated by Energy Development Corp., a subsidiary of First Gen and the country’s largest vertically integrated geothermal producer.

The BacMan complex recently saw an expansion with the inauguration of the 22-megawatt Tanawon geothermal project, underscoring the group’s aggressive capacity additions in the renewable sector.

The partnership highlights a growing trend among Philippine industrial and commercial consumers to lock in “baseload” renewable energy—power that can run 24 hours a day, unlike intermittent sources like solar or wind.

Carlo Vega, First Gen chief customer engagement officer, said the partnership is critical for the pharmaceutical firm, given the temperature-sensitive nature of its inventory.

The sensitive nature of the products Dyna Drug handles requires a stable, round-the-clock supply of renewable energy for its warehouse operations, which geothermal power is uniquely suited for, Vega said.

He added that First Gen remains committed to supporting the pharmaceutical firm’s broader decarbonization strategy.

Dyna Drug President Jacinto Dy noted the transition as a shift toward tangible environmental action.

The company, which traces its roots back to a grocery store established in 1915, has evolved into a logistics and retail operation, supporting more than 3,000 drugstores in the Philippines.

First Gen currently manages a diversified renewable energy portfolio totaling 1,700 megawatts, spanning geothermal, hydro, wind, and solar assets. Geothermal remains the cornerstone of this portfolio.

The company is currently exploring further expansion in Mindanao through its Amacan geothermal project.

Early estimates suggest that if the exploration proves successful, the Amacan site could add between 70 megawatts and 100 megawatts of fresh capacity to the national grid.