Oriental Peninsula shifts to power generation
Listed miner Oriental Peninsula Resources Group Inc. is venturing into the power generation business, particularly eyeing investments in renewable energy.
In a disclosure to the Philippine Stock Exchange, Oriental Peninsula said it has received shareholders’ approval to amend the primary purpose of its Articles of Incorporation from being a holding company for mining entities/activities into a general holding company.
“The amendment expressly widens the parameters which govern the kinds of businesses and activities which the corporation may engage in, not just limiting its holdings and investments in entities engaged in mining or mining-related activities,” the disclosure read.
In expanding its primary purpose, the mining firm will be allowed to own and invest in entities engaged in various fields and industries such as the business of power generation.
Oriental Peninsula is seeking stockholders’ go ahead to allow the company to engage in power generation by amending the secondary purpose of its Articles of Incorporation.
In particular, it seeks to get clearance to “invest or engage in the exploration, development, utilization and commercialization of renewable energy resources, such as biomass, solar, wind, hydropower, geothermal and ocean energy resources, including the application of hybrid systems and other emerging renewable energy technologies for the generation, transmission, distribution, sale and use of electricity and fuel generation.”
Incorporated in 2007, Oriental Peninsula Resources is a holding company intended primarily to consolidate and operate companies that own mining tenements located within the Philippines. It debuted on the PSE in December 2009.
Also in 2009, It acquired 40 percent of Oriental Energy Power Corp., signed a service contract with the Department of Energy (DOE) to build an 18-megawatt (MW) hydropower plant in Timbahan River, Aklan.
It also had plans to construct a P2.5-billion hydropower project in Panay Island in the Visayas.
The company, through subsidiary Citinickel Mines and Development Corp., owns two nickel mining projects in southern Palawan, namely Toronto Mine and Pulot Mine which are both covered by an approved 25-year mineral production sharing agreement (MPSA) with the government.
The MPSA covers 2,176 hectares. Of the total area, 1,408 hectares are located in Espanola town while 768 hectares are in the municipality of Narra, both in southern Palawan.
In early 2017, Citinickel has concluded the mine operation under the MPSA. It has set up a fund, allocating P1 million for every shipment of its existing stockpile, for mine rehabilitation and transition of the mine area to a self sustaining community-based enterprise economy.