MANILA, Philippines - Renewable energy company Clenergen Philippines Corp., the local subsidiary of US-based Clenergen Corp., is planning an initial public offering (IPO) in the next 18 months, its chief executive said on Tuesday.

Clenergen Corp. Chief Executive Officer Mark Quinn said proceeds from the capital-raising excercise will be used for the company's renewable energy development projects in the country.

"We are looking to do a public offering here so that would allow us to (undertake) the expansion of the projects," Quinn said.

Quinn did not disclose how much the company expected to raise from the public offering.

In preparation for the IPO, Clenergen said it will intensify its existing local projects.

Currently, Clenergen's local unit is undertaking a biomass feasibility studies for the off-grid areas of Romblon, Kalinga, and Apayao under a cooperation program with National Power Corp. (Napocor).

It is also exploring the possibility of providing electricity to the mining and coconut sectors through their respective industry organizations.

Clenergen is focusing on converting energy crops into price-competitive renewable electricity which will not require government subsidies or carbon credits.

Quinn said Clenergen needs to establish a track record of its projects before going public.

"We have these other two projects that we are looking to bring in 71 megawatts of power but we want to stay focused. We want to show you what an energy crop is," he said.

Aside from being the first new renewable energy firm to list in the local bourse, Clenergen will also be the first to introduce the use of bamboo (wood chips) as feedstock for gasification system for rural electricity.

Clenergen has signed a memorandum of agreement (MOA) with Laguna Biofuels Cooperative for the development of bamboo as an energy crop.

It also has a MOA with National Power Corp. in which it will undertake a feasibility study for the use of gasification technology in the state-owned power firm's small power utilities group in five areas in Mountain Province and in Romblon.

The company is also in talks with some mining companies as possible buyers of power once a planned 40-MW gasification power plant is in place.

Clenergen has also committed a 34-MW project with a major transmission company.

The company is also eyeing Romblon as a major producer of wood chips for conversion to heating fuels, renewable power and eventually hydrocarbon fuels both for domestic distribution, as well as export to Korea, Japan and China.

To kickstart is project in Romblon, Clenergen signed a feasibility agreement with the Romblon State University and Napocor for the construction of a 1-MW plant which can be expanded into a 4_MW facility.

Clenergen is also tapping Napocor's manpower for its power projects in Africa, Ghana, Zambia, Ethiopia, Libya and in the Philippines.

Clenergen's broad strategy is to convert wood to either chips for biomass power plants, pellets or liquid fuels for co-firing with coal and downstream processing, to pyrolysis oil and its subsequent conversion to hydrocarbon fuel for renewable diesel, jet fuel and gasoline.