PetroGreen Secures ₱1.24 Billion Loan for Isabela Solar Plant

PetroGreen Energy has secured a project-finance facility of up to ₱1.24 billion (about $22 million) from Rizal Commercial Banking Corp. for a solar plant in Isabela province, according to reports by The Manila Times and BusinessWorld. The financing will partly cover the development of the Limbauan project in San Pablo, on the northern Philippine island of Luzon.

The two outlets describe the plant’s capacity using different measures: The Manila Times reports 33 megawatts of alternating-current output, while BusinessWorld reports approximately 40 megawatts of direct-current solar-panel capacity. Those figures measure different parts of the installation and should not be added together.

According to The Manila Times, the first phase has a power-supply agreement with Isabela II Electric Cooperative, which serves local electricity customers. The larger second phase is covered by a tariff awarded through the Philippine Department of Energy’s second Green Energy Auction, a government programme for contracting renewable power. BusinessWorld reports that the second phase will connect to a transmission line operated by National Grid Corp. of the Philippines.

BusinessWorld puts the project’s total cost at ₱1.9 billion (about $33 million). It reports that BKS Green Energy is developing the plant as a subsidiary of Rizal Green Energy, a joint venture between PetroGreen and Japan’s Taisei Corp. RCBC is the lender, with affiliated companies serving as arranger, facility agent and security trustee, according to the outlet.

PetroGreen estimates the completed plant could generate up to 59 gigawatt-hours annually and avoid about 31,700 metric tons of carbon dioxide emissions, BusinessWorld reported. Those are company projections rather than measured operating results. Shares of PetroGreen’s listed parent, PetroEnergy Resources, closed at ₱4.50 on Tuesday, down 4.26%, according to BusinessWorld; The Manila Times also reported the closing price.