MANILA, Philippines - A wholly-owned subsidiary of Global Business Power Corp. has secured a P7-billion loan facility from local banks, parent firm GT Capital Holdings Inc. said in a disclosure on Friday.

Toledo Power Company will be using the funds for the ongoing expansion project of its 82-megawatt clean coal-fired power plant in Toledo City in Cebu.

The loan facility represents 70% of the total project cost of P10.175 billion, and GT Capital said the rest will be funded through equity.

"The Omnibus Facility Agreement was signed by a consortium of local financing institutions namely the Bank of the Philippine Islands, Chinabank, EastWest Bank, Land Bank, Rizal Commercial Banking Corp., Philam Life, UnionBank and United Coconut Planters Bank," GT Capital said.

First Metro Investment Corp. was lead arranger for the transaction, while co-arrangers were BPI Capital Corp., China Banking Corp., Land Bank of the Philippines, RCBC Capital Corp., UnionBank of the Philippines and United Coconut Planters Bank.

The Rizal Commercial Banking Corp. Trust and Investments Group acted as the facility agent, while the Metropolitan Bank and Trust Company Trust Banking Group was the trustee and paying agent. 

The expansion project is intended to augment the power supply of Carmen Copper Corp. beginning Dec. 26, 2014. Carmen Copper, a subsidiary of Atlas Consolidated Mining and Development Corp., will need said supply for its "mining expansion undertakings", GT Capital said.