THE Aurora Pacific Economic Zone and Freeport Authority (Apeco) has signed an agreement with a US firm and two Philippine companies to explore the development of a liquefied natural gas (LNG)-fired power facility in the ecozone.
The project, with an initial investment of $150 million or about P9.45 billion, involves a proposed 50- to 100-megawatt (MW) power plant and a substation microgrid, a localized electricity network that can serve the ecozone in Casiguran, Aurora.
The partners aim to expand the facility’s capacity to 500 MW in its third year and eventually to 2,000 MW. The proposed plant will supply power to data centers and other businesses in the ecozone, including defense-related locators.
Under the memorandum of understanding, Apeco, Texas-based ARQ Development Corp. LLC, SC Megaworld Construction and Development Corp., and HML Technologies will conduct a feasibility study for the project’s phased development.
They will also form a working group to coordinate power purchase arrangements, permits, engineering, and construction.
The agreement covers plans for LNG supply, storage and regasification facilities, as well as the expansion of the ecozone’s electrical infrastructure. Regasification converts LNG back into gas for use as fuel.
Apeco president and CEO Gil Taway IV said reliable power is essential to attracting investors, particularly those planning data centers, critical minerals processing, and defense-related activities.
The agency is also exploring commercial arrangements to strengthen its distribution facilities and meet current and future demand inside and outside the ecozone, Taway said.
ARQ managing partner Barry Adedamola described Apeco as a potential gateway for APQ’s expansion in Asia, citing its location along the Pacific.
ARQ develops energy and industrial projects, while SC Megaworld is an electrical contractor whose projects include power substations, bridges, hospitals, and manufacturing plants.
