THE Aurora Pacific Economic Zone and Freeport Authority (APECO) said it entered into a partnership with US company ARQ Development Corp. LLC and S.C. Megaworld Construction to develop a nearly P10-billion liquefied natural gas (LNG)-powered generation facility and substation.
The project, which will rise within the Casiguran-based ecozone, involves an initial investment of $150 million (about P9.45 billion) and a micro-grid.
APECO is targeting 500 megawatts (MW) by the third year and 2,000 MW over the long term capacity to accommodate data centers, hyperscalers, and defense locators. Its initial target is 50-100 MW.
The memorandum of understanding (MoU) was signed by officials from APECO, ARQ Development, and S.C. Megaworld during APECO’s investment mission in Houston this month.
The agreement calls for a feasibility study for the phased development of the project.
The MoU aims to support the development of the LNG supply, regasification, storage, and substation infrastructure required for the project, together with the expansion of the ecozone’s electrical infrastructure.
“Investors look for more than just scalable land when seeking a location; they also look for the presence of reliable power sources, adequate water supply, and digital connectivity that can support their uninterrupted operations,” APECO President and Chief Executive Officer Gil G. Taway IV was quoted as saying.
Headquartered in Texas, ARQ specializes in sustainable energy and industrial projects with access to finance and technical partners. Its local partner, S.C. Megaworld, will lead the engineering, construction, and permitting for the project.
S.C. Megaworld was founded in 1995 as an electrical contractor with a Triple A license from the Philippine Contractors Accreditation Board. Its portfolio includes power substations, bridges, hospitals and manufacturing plants across the Philippines. — Beatriz Marie D. Cruz