Greenergy expects profits from biomass proj in 18 months

Posted at 12/27/12 12:29 PM

MANILA, Philippines - Greenergy Holdings, Inc. expects its first pour of earnings from its biomass project after 18 months, Chief Executive Officer Antonio L. Tiu said Thursday.

"For our biomass project... we expect the first drop of revenue in 18 months (time)," Tiu told Mornings@ANC.

The firm's subsidiary Biomass Holdings, Inc. earlier this month bought a 64% stake in San Carlos BioPower, Inc.

"[The project involves] an 18-megawatt biomass plant to be erected in San Carlos, Negros [Occidental]... (and) it has already commenced," Tiu said.

Meanwhile, Tiu said the firm's wind business may bring in profits earlier than the biomass project if regulatory approvals are secured right away.

"There is likelihood the windmill will start generating revenue ahead of the biomass plant but it all depends on the approval (of permits) early next year," Tiu said.

"If we're able to secure all the necessary permits and paper works... it will only take around nine to 10 months... from the time of the groundbreaking to the first drop of revenue," he added.

Greenergy's subsidiary Winsun Green Ventures, Inc., incorporated in June, handles the firm's wind power projects. 

Last year, Greenergy inked an agreement with China-based Tianjin Tianbao for $1.3 billion worth of wind projects.

Greenergy Holdings will be changing its name to Greenergy Capital Holdings, Inc. as it increases its authorized capital stock to P5 billion from P2 billion.