CREC eyes P35b for 2025 capex to fund RE projects
By Alena Mae S. Flores – January 20, 2025, 7:25 pm
from manilastandard.net
Citicore Renewable Energy Corp. (CREC) is looking at capital expenditures exceeding P35 billion this year as it rolls out another 1 gigawatt of renewable energy projects.
“We will release capex maybe by next month. We just need to present to our board our annual operating plan so we’ll disclose. Most likely higher than last year,” CREC president and chief executive Oliver Tan said.
CREC allocated P35 billion capex last year.
Tan said CREC has four solar projects that will come online within the year totaling 1 GW. These are located in Tuy, Batangas; Arayat, Pampanga; Pangasinan and Pagbilao, Quezon.
“These are mostly the GEA-2 [Green Energy Auction] projects,” he said.
“We’ll end the year with almost 1.2 GW. Actually, not only that, we’re rolling out the second GW pipeline this year. Because we are rolling out 1 GW per year for the next five years,” Tan said.
Tan said the company is also lining up several fund raising in the first half to finance project construction.
“We’ll be very busy in both capital market… and most likely debt…We’ll most likely do a shelf registration so it would be easier,” he said.
CREC announced this month that Indonesian state-owned enterprise PT Pertamina Power Indonesia subscribed to 20-percent interest in the company.
This is equivalent to 2,232,143,036 CREC common shares at P3 apiece, raising an estimated value of P6,696,429,108.00 or about $115 million.
The partnership with CREC marks Pertamina NRE’s first investment in the Philippines and their entry to the country’s booming renewable energy investment climate, now ranked second most attractive emerging market for renewable energy investment by BloombergNEF.
“The partnership with Pertamina NRE presents limitless opportunities for Indonesia and the Philippines to collaborate on innovative technologies and practices in renewable energy. It gives a wider stage to CREC’s unique end-to-end capabilities by opening doors in Indonesia even as we drive our developments in the Philippines at full speed,” said Tan.
Proceeds from the agreement will contribute to the development of CREC’s pipeline of RE projects.
