Toledo Coal Power Plant II

active

In July 2009, US$450 million 246MW Toledo Coal Power Plant II project developed by Cebu Energy Devleopment Corp reached financial closure under a BOO contract, when the sponsor received a loan of US$332 million from a consortium of 11 local banks lead arranged by First Metro. As of March 31, 2009, Cebu Energy Development Corp (CEDC)- a project company comprising Global Formosa Power Holdings (a JV of Metrobank subsidiary Global Business Power Corp. and Formosa Heavy Industries, and Abovant Inc (a JV of Aboitiz Power Corp and Vivant Corp) - had partially constructed the plant, via equity contributions. The entire debt for the project was raised with the loan. The remaining of the US$450 million project was provided by the main shareholders - Aboitiz Equity Ventures, Metrobank Group, and Formosa Plastics Group. The groundbreaking ocurred in January, 2008. As of April 2009, construction was 16% complete. It planned to start operations in 2010 and would reduce the power shortage in Cebu Province. The electricity from the plant would be sold to the wholesale electricity market and the industries in the Balamban Enerzone could also be the main buyers.