PetroEnergy profit up 44% to $8.5 million in 2017

MANILA, Philippines — PetroEnergy Resources Corp. (PERC) of the Yuchengco Group booked a 44-percent jump in net earnings last year mainly due to higher electricity sales from its renewable energy (RE) investments.

In a disclosure to the Philippine Stock Exchange yesterday, PERC said its consolidated net income reached $8.46 million last year as against the previous year’s $5.86 million.

Net income attributed to equity holders also increased 114 percent from $1.77 million to $ 3.79 million.

PERC attributed the income rise to higher revenues from electricity sales of its RE investments. It also said revenues from its petroleum operations increased 22 percent as a result of slightly higher crude oil prices. 

“Our 2017 financial performance shows PERC’s growth-driven direction, credited mainly to the efficiency and reliability of our RE power plant operations. And to be recognized recently by the Financial Times as one of the fastest-growing companies in the Asia-Pacific region is truly an encouraging achievement for PetroEnergy,” PERC president Milagros Reyes said.

PERC’s three RE projects include the 20-megawatt (MW) Maibarara Geothermal Power Project in Batangas, 36-MW Nabas Wind Power Project in Aklan and the 50-MW Tarlac Solar Power Project in Tarlac.

Last March, the Maibarara-2 geothermal power facility, the 12-MW expansion of the existing geothermal plant, started supplying power to the Luzon grid, increasing PERC’s total RE power generation portfolio to 118 MW. 

“We are optimistic that with our planned expansion in our Tarlac and Nabas projects, and the profitable operations of our existing power facilities, PERC will continue to grow both in terms of revenue and in the benefits we give to our various stakeholders. Our sustained growth is an affirmation of the value we put into our partnerships with public and private entities,” PERC vice president Francisco Delfin said.

PERC is currently working on the 14-MW Nabas wind power project in Aklan, the 49-MW Tarlac solar power plant and 10-MW solar hybrid power project in Puerto Princesa. 

It has allotted P1.6 billion for the 14-MW expansion of the existing Nabas wind farm in Aklan, P2.4 billion for the 49-MW Tarlac-2 solar-power project and P855 million for the 5-10 MW hybrid solar power project in Puerto Princesa, Palawan.

Once completed, these projects will help the company nearly double its capacity by 2019.

Originally, PERC’s business is petroleum exploration and production. PERC, along with US partner Vaalco Inc., secured the Etame offshore oil block in Gabon, West Africa in 1995, made an oil discovery in the block in 1998 and started commercial oil production in 2002.

It started to diversify into renewable energy development and operation in 2009.