MANILA - Philippine power producer Energy Development Corp. (EDC) announced on Thursday it had launched the sale of up to P12 billion ($257 million) worth of fixed rate bonds to refinance maturing debt.

EDC, the country's largest geothermal energy producer, said in an advertisement that it would sell 5-year bonds carrying an interest rate of 8.6418% and 7-year bonds carrying an interest rate of 9.3327%.

The sale closes on Nov 26.

The company, a unit of the Philippines' largest privately held power generation firm First Gen Corp. has said it will use proceeds from the offer to refinance its outstanding yen loan, worth about P11 billion, maturing on June 26, 2010.

Joint lead underwriters for the issue are BDO Capital & Investment Corp., RCBC Capital Corp, BPI Capital Corp. and SB Capital Investment Corp.