MANILA - With close to P300 million in investments to be poured in its coal mine operations Zamboanga Sibugay and Davao Oriental, Titan Exploration and Development Corp. (TEDC) expects to open about 18,000 jobs to people living within its 5 coal contract areas.

On Wednesday, TEDC was awarded by the Department of Energy (DOE) 3 of its 5 coal operating contracts (COCs) covering coal development and production in Diplahan-Buug, Diplahan, and Siay in Zamboang Sibugay.

TEDC was earlier awarded two COCs that covers coal block areas in Payao, Zamboanga Sibugay and Manay, Davao Oriental.

“The awarding of 5 COCs will allow us to build up our exploration and development portfolio, as well as increase local coal production to help the country reduce the reliance on energy imports,” Jaime Ang, TEDC president, said.

Ang added that the five contract areas have a potential yield of 200 million metric tons of medium- to high-grade coal worth P1.5 billion. Operations are expected to start in the second quarter of next year.

The company plans to supply coal to coal-fed power plants, cement plans, canneries and other manufacturing plants.

Titan Exploration is a mining company and is an affiliate of the John Tiu Ka Cho (JTKC) Group of Companies.

Aside from Titan Exploration, DOE also awarded two coal contracts to Black Gem Resources and Energy Inc. and Dell Equipment and Construction Corp. to explore for coal in Tarragona, Davao Oriental and South Cotabato, respectively.

Black Gem and Dell Equipment expects to invest P39.6 million and P57.78 million in the coal contracts,
respectively.

Black Gem is engaged in mining and in storage, railways and roadways for the purpose of transporting and storing oil and gas, while Dell Equipment has been involved in land development works.

Energy Secretary Angelo Reyes noted the increased interest in the exploration and development of indigenous coal resources in the Philippines.

Reyes said the further reduction of the country’s dependence on imported coal is aligned with the energy self-sufficiency agenda of the national government. The government hopes to achieve 60% self-sufficiency by 2010.

At present, the country imports 70% of coal requirements from various sources and the remaining 30% from local sources.

While the government aims to reduce dependence on imported sources of energy, Reyes said coal remains important as it provides the energy that will be needed during this transition period moving to renewable energy.

“We are encouraged by the fact that demand for coal has increased because a lot of [companies] are converting from bunker,” Reyes said.