The Malampaya consortium said over the weekend that it is not refusing the sale of banked gas to SMC Global Power unit South Premier Power Corporation (SPPC), which operates the 1,200-MW Ilijan power plant in Batangas province.
THE Malampaya consortium said over the weekend that it is not refusing the sale of banked gas to SMC Global Power unit South Premier Power Corporation , which operates the 1,200-MW Ilijan power plant in Batangas province.
SMC Global Power had said in a press statement that the Ilijan facility is on extended outage following the refusal of Shell Philippines Exploration BV to supply the 70 petajoules in banked gas from Malampaya that SPPC acquired from PNOC in June 2022. Prior to the SPEX and Prime Energy transaction, SPPC purchased the remaining banked gas of PNOC for $1.2 billion. Based on a filing, SPPC entered into a gas supply agreement for 70.26 petajoules of banked gas with PNOC at a daily volume of dispatch sufficient to run the Ilijan plant at 45 percent to 75 percent plant factor. This volume of gas is adequate and expected to support the Ilijan plant’s fuel requirements until February 2024.
The consortium also stressed that diverting the gas to Ilijan could result “in depriving the other power producers with active contracts in the Luzon grid of natural gas.”
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