Citicore Renewable Energy Corporation (CREC) says that its board has given the green light for the proposed partnership with San Miguel Global Light and Power Corporation (SGLP) for a 153.5-megawatt (MW) solar power initiative in Barangay Lucanin, Mariveles, Bataan.

In a disclosure to the Philippine Stock Exchange (PSE), CREC finalized an investment and shareholders agreement with SGLP on June 28 to develop, construct, and manage the solar facility.

The agreement ordered mutual collaboration in financing, construction, ownership, operation, and maintenance of the plant through a special purpose entity.

At the project’s initial stages, SGLP will control 51% of the partnership’s issued and subscribed capital stock, while CREC will own 49%.

In the initiation of the construction phase, CREC is aiming to acquire additional shares, resulting in an equal ownership split of 50% each between CREC and SGLP. The special purpose entity’s governance will be overseen by a board comprising six directors, with each party entitled to nominate three directors.

CREC highlighted that this transaction is parallel to its strategic objective to enhance its solar energy capacity, aiming to contribute 1 gigawatt (GW) annually of ready-to-build or under-construction solar energy capacity over the next five years.

The firm added that the joint venture is expected to expand CREC’s attributable solar energy capacity by approximately 76.75 MW.