By: Rodrigo S. Victoria
NAVAL, Biliran – A top official of the Department of Energy (DOE) disclosed in a report that another Iceland-based firm that also specializes in geothermal resource development and operation will start the drilling of exploration wells of the Biliran geothermal project by next year.
DOE Undersecretary Jose M. Layug, Jr revealed in a report that Orka Energy is planning to drill two to three exploration wells in 2013 to support the operations of its planned geothermal facility in Biliran province.
Orka Energy also focuses on exploration and development of steam fields and production of electricity from geothermal energy.
Orka Energy has bought stakes held by Reykjavik Energy Invest and Geyser Green Energy both of Iceland in the Biliran geothermal project that stands at $150M, the report stated.
Fil-Tech Energy Drilling Corporation (Fedco) and Biliran Geothermal Incorporated are the local partners to the project.
It was learned that the Biliran geothermal project is estimated to generate 50 megawatts of power. It is expected to benefit five electric cooperatives and about 1.9 million residents in Biliran and Leyte Islands, the report added.
The report also stated that the parties involved in the Biliran geothermal project are expected to start commercial operations if the drilling of exploration wells of the project will yield positive results.
Usec. Layug stated in the report that the presence of Orka Energy in the country would allow the country’s geothermal developer to learn from the technological advancement made by the Icelandic firm particularly in the area of “district heating”.
It was learned that the Philippines is the second largest geothermal producer in the world with geothermal capacity of about 1,966 megawatts at present.