Aboitiz said “So, we will probably be analyzing the situation towards the end of the third or early fourth quarter.”
The company and Taiwan Cogen International Corp., its partner, previously stated that they would postpone the construction of the 300 MW plant located in Subic Bay. Under the Redondo Peninsula Energy Inc., corporate vehicle, the coal-fired power station is a joint venture between Aboitiz Power and Taiwan Cogeneration.
Aboitiz affirmed “We have pushed back our notice to proceed further. We decided to hold off and review it for the second quarter. We initially targeted to start construction in the first quarter of the year.”
He said that by the second quarter of 2009, project review should be finished.
Aboitiz said “We will look at costing again because costs have [gone] down. We will also review the demand in the Luzon grid.”
He stated that if results turn out to be bad then construction may be further delayed.
Formosa Heavy Industries Inc. bagged the $500 million contract to construct the power station.
The power station is developed as a ‘circulating fluidized bed combustion coal technology’ that reduces emissions from such plants.
