Nickel Asia inks deal with Surigao power co-op
MANILA, Philippines – Nickel Asia Corporation (NAC) has signed a power sales agreement with the Surigao Del Norte Electric Cooperative Inc. (Surneco).
In a disclosure to the Philippine Stock Exchange, NAC said it will build and operate a bunker-fired power station in Surigao del Norte and supply power to Surneco.
The project, which will cost an estimated P1 billion, aims to help solve the power shortage problem in Surneco’s franchise areas in Surigao City, 11 Surigao del Norte towns, and Hikdop Island.
Surneco president Mario Gesta said the 10-megawatt power project “is a welcome development as a major utility infrastructure to address our energy needs over the next 15 years.”
Surneco served 59,470 customers in the end of 2012.
The 15-year agreement, signed on Thursday, is pending approval of the Energy Regulatory Commission. The target effectivity date of the agreement is on March 2014.