First Gen Corporation, through subsidiary Prime Meridian Powergen Corporation (PMPC), said it has been granted a Php2.8-billion three-year loan primarily to fund the general and corporate working capital requirements of the 97-megawatt (MW) Avion gas-fired power plant.
PMPC is Avion’s operator.
According to the Lopez-led firm, funding was obtained from the Bank of the Philippine Islands and ING Bank N.V.’s Manila branch.
“This is the first term loan of PMPC and it is reflective of the Avion power plant’s strong and stable cash flows since starting operations in 2016. The combined debt facilities totaling Php2.8 billion is a testimony to the strong support and continuing confidence of our lenders in First Gen’s natural-gas business,” First Gen President and COO Francis Giles Puno said in a statement.
Located in Batangas City, Avion is one of the country’s five natural gas plants feeding on fuel from the Malampaya field in Palawan. Its 48.5MW Unit 2 sustained damages to its compressor back in August, but were repaired come October.
