BacMan Geothermal Power Plant

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In September 2010, the Power Sector Assets and Liabilities Management Corporation (PSALM) finalized the full divestiture of the 150 MW BacMac Geothermal Power Plant by selling to Bac-Man Geothermal Inc, a subsidiary of Energy Development Corporation for US$ 28.25 million. Energy Development Corporation paid the financial offer and took over the operation of the power plant. The BacMan plant package consisted of two steam plant complexes in Albay and Sorsogon - The BacMan I geothermal facility had two 55-MW turbines, both commissioned in 1993, while the BacMan II facility also had two 20-MW units: Cawayan located in Barangay (village) Basud and Botong in Osiao, Sorsogon City. The Cawayan unit started operating in 1994, while the Botong unit was commissioned in 1998. At the time the power plants were divested, they were practically inoperable, with a generating availability of only 3%. The project was awarded to Bac-Man Geothermal Inc following a competitive bidding conducted by PSALM in May 2010. Bac-Man Geothermal Inc of the Lopez group offered US$28.25 million for the Bicol-based geothermal plants while Thermal Power Inc, of the Aboitiz group tendered a bid of US$17.8 million. The two bidders exceeded the reserve price set by the PSALM Board for the asset. Bac-Man Geothermal Inc was fully owned by Energy Development Co. In February 2012, Alstom won a repair contract for unit 1 and 2 of the plant. The unit is to be shipped to the UK for repair works, and unit 2 is to follow 'in due time'. Construction is expected to be completed in 2014.