DOE: Semirara coal auction may resume by mid-2026

MANILA, Philippines — The highly anticipated bidding for the Consunji Group’s flagship coal asset on Semirara Island in Antique may finally resume in the middle of this year, Energy Secretary Sharon Garin said.

Garin told reporters that the Department of Energy (DOE) is still refining the auction terms after prospective bidders raised concerns over the bidding process for the Philippines’ largest coal mining site.

“This is the first time for us to bid out an existing coal mine, and it is also the biggest in the country. So, we are trying to come up with the best offer we can get – one that is also best for the country,” she said.

The Semirara coal blocks, currently operated by Consunji-led Semirara Mining and Power Corp. (SMPC), are the centerpiece of the bidding round launched by the DOE in February.

However, the process later hit a snag after the agency indefinitely deferred the auction to ensure that all issues surrounding the bidding framework were resolved before moving forward.

The STAR was the first to report the auction’s postponement “until further notice.”

“We really need to maximize Semirara’s potential. We are truly working to improve it,” Garin said.

The energy chief said there remains strong interest in the Semirara coal blocks, prompting several clarifications from prospective bidders. These include questions on equipment, contract duration and the site’s expected remaining production life.

The DOE, Garin said, is addressing all of these matters, which is why the bidding process is taking time.

Garin is pushing to include one provision in the contract requiring the winning bidder to ensure that a minimum percentage of coal output is supplied to the Philippines.

The Semirara blocks are estimated to hold coal reserves of about 160 million metric tons, according to DOE data.

SMPC, whose current contract is set to expire in July 2027, accounts for more than 90 percent of domestic coal production. It exports coal to China, South Korea, Brunei and other nearby markets.

To continue its decades-long operations in Antique, SMPC earlier sought an extension of its contract, which was later denied by the DOE following a negative opinion from the Department of Justice.

SMPC chairman and CEO Isidro Consunji has said the company is preparing to submit the “best mine plan,” leveraging almost three decades of experience and technical capabilities.