EDC commits to develop new geo projects overseas

Lopez-led Energy Development Corp. (EDC) is committed to developing new geothermal projects overseas.

The world’s second largest integrated geothermal company said it is focusing exploration projects and securing new service contracts in Chile.

In a statement, EDC said it reaffirms its “commitment to develop geothermal resources outside the country, specifically in Chile, where it has been awarded three geothermal exploration concessions by the Chilean Ministry of Energy.”

“We are now expanding our international resources so we can better understand the local settings to complement our more than 35 years of technical expertise developed in the Philippines,” said EDC president and chief operating officer Richard B. Tantoco.

Specifically, EDC will start preliminary survey work in its three geothermal exploration concession areas of Newen, San Rafael and Batea.

It will also pursue other concession areas in its bid to put up the first geothermal power plant in Chile.

To date, EDC has four pending applications for geothermal concessions in Chile, where EDC has set up a local office to facilitate its expansion.

“It is normal at this early exploration stage to build up the company’s concession portfolio and systematically conduct detailed studies on each,” EDC said.

During the Asia-Pacific Economic Conference Leaders’ Summit in Vladivostok, Russia early this month, President Aquino and Chilean president Sebastian Piñera expressed their interest in establishing a deeper partnership in geothermal energy development.

In February, EDC and Hot Rock Ltd. of Australia signed an agreement to acquire four geothermal projects in Chile (Calerias and Longavi) and Peru (Quellaapacheta and Chocopata).

However, the partners dropped the Calerias and Longavi projects in Chile in July and the Chocopata project in Peru early this month after finding out that the projects are not commercially viable.

“While not all concessions are expected to yield geothermal resources of commercial scale, EDC is confident that just like in the Philippines, some concessions in Chile will become large producing fields,” the company said.