Semirara plans to expand generation business, studies shift to LNG projects

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Semirara Mining and Power Corp. plans to expand its power generation business and studies a shift to liquefied natural gas once it becomes financially viable, a top executive said Tuesday.

“We expect to expand our power projects and maybe even shift to LNG if and when situation arises that makes this shift a good business opportunity,” SMPC chairman Isidro Consunji said during the company’s annual stockholders meeting.“The question is really just an issue of business viability but physically and technically, there is no reason why SMPC cannot go to LNG,” he said.

Consunji said there were opportunities in mining outside of Semirara Island where SMPC could participate. “Our finance people concluded that the cost involved in such transfer will make it very expensive. Secondly, the ability to determine a fair price for both set of stockholders – DMCI and Semirara is extremely difficult considering the fact that bulk of the mining assets of DMCI Mining are not fully permitted, so it will probably not happen anymore,” he said.

“As we move forward into 2023, we expect global coal prices to consolidate on economic softening, high fuel inventories and warm winter in Europe,” Gotianun said.

 

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