15 July 2010

Udenna wins bid for Subic power plant

MANILA - Udenna Corp., the investment arm of Phoenix Petroleum Philippines Inc., owner Dennis Uy, won in the bidding yesterday for the 116-megawatt (MW) Subic diesel power plant (SDPP).

Informed sources said among the four pre-qualified companies, only Udenna submitted financial and technical proposals, prompting Subic Bay Metropolitan Authority (SBMA) to enter into a negotiated sale with Udenna.

The sources declined to give the identities of the other bidders but earlier reports indicated that Aboitiz Power Corp. and Pacifica Inc. had signified interest to join the SDPP bidding.

SBMA auctioned off the SDPP after it was turned over by the Power Sector Assets and Liabilities Management Corp. (PSALM) last year.

The plant was commissioned in 1994 through a build-operate-transfer (BOT) agreement between National Power Corp. (Napocor) and Enron Corp.

It was also learned that the SBMA board has ordered management “to enter into a consortium agreement with R-II Builders Inc. for purposes of the bidding or submission of the pre-qualification requirements and proposal for the SDPP project.”

Udenna owns minority shares at publicly-listed Phoenix Petroleum one of the most aggressive independent oil companies in the country.

Formerly known as Davao Oil Terminal Services Corp., Phoenix Petroleum is 68 percent-owned by Phoenix Petroleum Holdings Inc. The rest of the company’s shares are owned by Udenna Corp., Udenna Management and Resources Corp., Udenco Corp., and certain individuals.

The company is engaged in trading refined petroleum products, lubricants and other chemical products on wholesale basis operation of oil depots and storage facilities; and allied services mainly in Mindanao. ((Donnabelle L. Gatdula, Philippine Star)