San Lorenzo Ruiz to invest $2.5bn in hydropower projects, seeks partners

San Lorenzo Ruiz Builders and Developers Group (SLRB) is seeking prospective foreign and local partners for four major hydroelectric power projects, worth $2.5bn, with a generation output of 1,212MW.

SLRB president and chief executive officer Oscar Violago was quoted by The Philippine Star as saying in a press briefing that the power projects are expected to reduce the power crisis in the country.

Negotiations are expected to conclude between SLRB and large foreign company and some local firms within the year for the potential partnership, Violago added.

The projects include the Wawa hydroelectric power project in Rodriguez, Rizal; Bolusao River hydropower project in Eastern Samar; Davao hydropower project and Chico River hydropower project in Northern Luzon.

Banco de Oro (BDO) Capital and Investment was also selected by SLRB to serve as financial advisor for the projects, which are likely to be completed by three to four years.

BDO Capital president Ed Francisco said, "As financial advisor, we will help them arrange and look for partners. We will help them select the debt and equity partner to finance the projects."

In addition to help lower the power cost in Metro Manila, the $873m worth Wawa project will provide 500-1000 MW of pumped storage power capacity for peaking use in the Luzon grid.

SLRB, meanwhile, proposed 12MW run-of-river hydropower and a 300MW pumped storage hydropower project in Samar.

The 160MW Davao hydropower project will provide power while eliminating dependence on more expensive fuel for coal-fired and oil-based power plants in the region.