PetroEnergy 1Q, 2017 consolidated net income up by 300%

PetroEnergy 1Q, 2017 consolidated net income up by 300% PetroEnergy Resources Corporation (PERC) posted a 327% increase in its consolidated net income of US$ 4.306MM in 1Q 2017 compared to US$ 1.009MM in the same period last year. The 4-fold surge was mainly due to higher electricity sales from the Company’s renewable energy (RE) development and power generation assets and slightly higher crude oil revenues from the Gabon oil production. For the same reason, the net income attributed to equity holders of the Parent Company also increased more than five times from US$ 0.518 MM in 1Q 2016 to US$ 2.858MM in 1Q 2017.

“Our decision to venture into RE, in addition to our upstream oil business, has started paying off,” PERC President Milagros V. Reyes said. “Our 20 MW Maibarara geothermal venture was declared in 2011 as the first commercial project under the 2008 RE Law framework by the DOE and was successfully put on stream in 2014. This is now being expanded to add another 12 MW generating unit. Since then, we have commissioned two more RE plants, the 36 MW Nabas-1 wind power projects in 2015 and the 50 MW (DC) Tarlac-1 solar power facilities in 2016,” Reyes added.

Total net electricity exported by the PERC subsidiaries increased from 76.60 GWh in 1Q 2016 to 102.91 GWh in 1Q 2017. PERC Vice President and MGI President F.G. Delfin Jr. explained, “The positive difference in generation between the two periods came from increased net electricity export from the Maibarara and Tarlac power facilities. The Feed-in-Tariff (FIT)-qualified Tarlac- 1 solar facility was put into commercial operation in February 2016 and the 20 MW Maibarara plant increased its load nomination after its major preventive maintenance in 1Q 2016.” As a result aggregated gross revenues from the 3 operating RE plants rose from PhP 511.11 MM in 1Q, 2016 to PhP 693.46 MM in 2017.

G. Delfin Jr., added, “For the 12 MW Maibarara-2 geothermal facility, all major equipment has been delivered on site and construction is entering its final stages. Testing and commissioning activities will follow suit even as we are now starting on the interconnection regulatory requirements. When completed, the Maibarara-2 facility will supply the Luzon grid with an additional 12 MW of clean and base load power while providing MGI and its PERC parent company with added revenue stream starting in late 2017.”