By Lenie Lectura -March 20, 2020
from Business Mirror
ALCANTARA-led Alsons Consolidated Resources Inc. (ACR) ended 2019 with a net income of P938 million, up 67 percent from the P563 million recorded in 2018, mainly due to sustained revenues.
The publicly listed firm recorded P6.8 billion in revenue last year from P6.66 billion the previous year. The key revenue and income driver for the company continues to be the 210-megawatt (MW) Sarangani Energy Corporation (SEC) coal-fired baseload power plant located in Maasim, Sarangani Province.
The SEC plant began operating at full capacity with the commencement of operations of the plant’s second 105 MW Section in October 2019. SEC currently delivers power to around six million people in Sarangani Province, General Santos City, and other parts of Mindanao.
ACR has a portfolio of four power facilities with an aggregate capacity of 468 MW serving over eight million people in 14 cities and 11 provinces including key urban centers such as Cagayan de Oro, General Santos, Iligan, and Zamboanga City.
It is currently building a P4.5-billion 14.5 MW run-of -river hydroelectric power plant at the Siguil River basin in Maasim, Sarangani Province. This is expected to begin commercial operations in 2022 and will provide power to Sarangani Province, General Santos City and key municipalities of South Cotabato.
Another project in ACR’s pipeline is the 105-MW San Ramon Power, Inc. (SRPI) baseload coal-fired power plant in Zamboanga City, which is slated to begin operations in 2023.
Apart from power generation, ACR is also engaged in property development. The company is in partnership with Ayala Land, Inc. in the development of Azuela Cove, a 26-hectare township project in Davao City. The first two Ayala Land Premier towers were successfully launched in 2018 and are currently under construction.
Last month, ACR said it re-issued P694 million from the first P1.5-billion tranche of the company’s commercial paper issuance with the Philippine Dealing and Exchange Corporation.
“This will provide interim funding to help the company’s expansion into the renewable energy sphere,” it said.
The company’s commercial papers issuance earlier received PRS A plus with a Stable Outlook issuer credit rating from the Philippine Rating Services Corporation, which cited the company’s “above average capacity to meet its financial commitments relative to other Philippine corporates,” “the positive growth prospects for Mindanao which will bring about an increasing demand for power,” and ACR’s “ability to establish joint ventures with strong partners for particular projects.”