Philippine Energy Development Corp. (EDC) has decided to step out of the Calerias joint project with Australian Hot Rock, after initial exploration results were not as promising as anticipated.
Reported locally, Philippine geothermal power house EDC has decided to exit the planned 185 MW geothermal power plant project Calerias in Chile.
Recent exploration results as part of a resource assessment have been disappointing, and the Australian partner in the project Hot Rock now regains a 100% stake in the project. Hot Rock is now re-evaluating its position and plans for the project. In 2011 the company had predicted a 79 MW development by 2015.
As part of a farm-in agreement between both companies under a $200 million JV agreement in 2011, the companies agreed on EDC taking over a 70% stake in the projects by Hot Rock. Calerias was one of four projects. While the Logavi project has seen the start of exploration work, similar work is expected for the Quellaapacheta and Chocopata sites in Peru are not expected to commence until later in 2012.
Source: BN Americas via Power Engineering