EDC raises $90m for Philippines wind farm

EDC chief finance officer Nestor Vasay said the amount was part of the second tranche of the $150-million total bridge financing for the second phase of the Burgos wind power project.

“The $90 million is the US dollar component of the bridge loan. Both Australia and New Zealand Banking Group Ltd. and  Mizuho Bank Ltd. provided the bridge loan,” Vasay  said.

Proceeds of the latest facility completed the bridge financing for Phase 2 of the Burgos wind power project that would involve an additional 63-MW component.

The Burgos wind project is located on a 686-hectare site covering the three barangays of Saoit, Poblacion and Nagsurot in Burgos town.

“With the financing, EDC is on track to complete construction of the 87-MW phase 1 by fourth quarter 2014 and the 63-MW Phase 2 by first quarter 2015,” EDC said.

It said the project would reinforce EDC’s position as the country’s premier renewable energy company.  It would add 150 MW of wind capacity to existing 1,150-MW geothermal and 132-MW hydropower assets.

EDC previously signed a two-year bridge facility amounting to P2.7 billion with Philippine National Bank and Security Bank Corp.  The bridge financing will address the wind project’s funding requirements while the company is arranging the project financing.

PNB lent P1.3 billion while Security Bank provided P1.4 billion to EDC.

The second phase of the Burgos wind project entails the delivery of 21 additional wind turbines with a capacity of 3 MW each, from supplier Vestas of Denmark.

The 87-MW first phase of the project costing $300 million is already fully funded.

Once completed, the 150-MW Burgos wind project will be the largest operating wind farm in the Philippines, generating approximately 365 gigawatthours annually to supply electricity requirements of over a million households.