Avon River Power

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On October 1, 2003, Avon River Power Corp. signed two contracts with Aklan Electric Cooperative (Akelco) for the construction and 20-year operation of a 7.5-MW diesel-fired power plant in Nabas, Aklan, and a 5-MW plant in New Washington town, also in Aklan. The plants were expected to cost a total of 600 million pesos (US$11 million). Both plants began construction in April of 2004 and were expected to become operational by the end of 2004. The 7.5-MW Nabas plant was to serve commercial and residential customers on the beach resort island of Boracay. The 5-MW facility in New Washington was to provide electricity to other municipalities in Aklan. Avon River Power signed a (revised) power purchase agreement with Iloilo I Electric Company (ILECO I) in early 2005. Avon River Power Corp. was a 100%-owned subsidary of Mirant Global Philippines Corp., a joint venture between US-based Mirant Corp. and the Pilipino company Global Business Holdings Inc., a unit of Metropolitan Bank & Trust Co. The plant became operational in early 2005. In March 2009, it was reported that the Philippines SEC had approved the merger of Panay Power Corp (Project ID: 188) and Avon River Power Holdings Corp to form a new company, Panay Energy Development Corp. Both Panay Power Corp and Avon River Power Holdings Corp were owned by Global Business Power Corp., a Metrobank company.