3 weeks ago
9
Brix Lelis - The Philippine Star
February 26, 2025 | 12:00am
“In December 2024, SMPC received consent via formal correspondence from the DOE for the expansion project,” the country’s leading coal producer said in a statement to The STAR.
STAR / File
MANILA, Philippines — Consunji-led Semirara Mining and Power Corp. (SMPC) has secured the green light from the Department of Energy for its planned P291-billion coal mine complex expansion project in Antique.
“In December 2024, SMPC received consent via formal correspondence from the DOE for the expansion project,” the country’s leading coal producer said in a statement to The STAR.
The expansion project is designed to operate the company’s existing Molave and Narra pits, with plans to eventually run the new Acacia pit once the coal deposits in the existing pits are depleted.
The Molave pit reached its end-of-mine life in November 2023, while the Narra pit is expected to follow suit and end its mine life in 2026.
SMPC said it is currently awaiting approval of the amended environmental compliance certificate from the Department of Environment and Natural Resources.
This followed the conduct of a public consultation hearing in October last year for the project spanning 5,677.75 hectares, the company said.
The expansion project will be undertaken until 2027.
SMPC said the operations in the Molave and Narra mines, along with the Acacia expansion, would ensure continued coal production, which is crucial for power generation and cement manufacturing.
“Regionally, these mining operations support local employment, infrastructure development and economic activity. Despite global trends toward cleaner energy, coal remains in demand, especially as existing coal power plants continue to operate under current prices,” it said.
As previously disclosed, the estimated multibillion-peso budget for the project covers capital expenditures, production costs and operating expenses, SMPC said.
For 2025, the company has set aside P6.9 billion for capital spending, the bulk of which will be used for refleeting initiatives and additional acquisition of mining and support equipment.
On the operational front, the company said it is focused on advancing the exploration at the Acacia mine in an effort to achieve its annual production target of up to 16 million metric tons (MT).
SMPC reached 16 million MT in coal production in 2024, marking its third straight year hitting the maximum limit allowed under its existing environmental clearance.
The integrated energy company sold an all-time high of 16.5 million MT of coal in 2024, exceeding its previous record of 15.8 million MT set in 2023.
As the leading domestic coal producer, SMPC supplies fuel to power plants, cement factories and industrial facilities across the country. It also exports coal to China, South Korea, Brunei and other nearby markets.
