US energy firm eyed to build natural gas plant in Occiental Mindoro to solve power woes

Dennis Datu

ABS-CBN News

<p>MANILA -- The decades-long power supply problem in Occidental Mindoro may finally come to an end if the plan of an American-owned energy corporation to build a natural gas power plant in the province pushes through.</p><div class="twitter-tweet twitter-tweet-rendered" style="display:flex;max-width:560px;width:100%;margin-top:10px;margin-bottom:10px"><iframe id="twitter-widget-0" scrolling="no" frameBorder="0" allowtransparency="true" allowfullscreen="" title="X Post" src="https://platform.twitter.com/embed/Tweet.html?dnt=false&amp;embedId=twitter-widget-0&amp;features=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%3D%3D&amp;frame=false&amp;hideCard=false&amp;hideThread=false&amp;id=1940669794195255785&amp;lang=en&amp;maxWidth=560px&amp;origin=https%3A%2F%2Fod2-workbench-web.abs-cbn.com%2F%23%2Fworkspace%2Fmonitoring%3Fitem%3Durn%3Anewsml%3Aod2-workbench-api.abs-cbn.com%3A2025-07-07T02%3A30%3A20.652523%3A0cdc5116-725b-40ca-ae86-5fde5df85405%26action%3Dedit&amp;sessionId=7dc8749784f2f920d3df3872cae16097b54257e8&amp;theme=light&amp;widgetsVersion=2615f7e52b7e0%3A1702314776716&amp;width=550px" style="position:static;visibility:visible;width:560px;height:316px;display:block;flex-grow:1" data-tweet-id="1940669794195255785"></iframe></div><script async="" src="https://platform.twitter.com/widgets.js" charSet="utf-8"></script><p>Brent Franklin, Chairman of Rise Group Capital, and UN Ambassador Carey Nash, Managing Director of Rise Capital Group Nash Oil, Gas, and Power Inc. (RCNO), met with Governor Eduardo Gadiano at the provincial capitol in Mamburao to discuss the proposed Occidental Mindoro Natural Gas Infrastructure Development Project.</p><p>The project is a joint venture between RCNO, Infratechnik International Ventures and Development Corporation, and Emperium Electric Power Generation Services, under the government’s public-private partnership (PPP) program.</p><p>According to the plan submitted to Governor Gadiano, three modular natural gas power generation facilities will be built in Mamburao, Sablayan, and San Jose, each with a capacity of 5 to 15 megawatts. These sites aim to significantly enhance power reliability and reduce electricity costs in the province. </p><p>“Number one is to bring the price down for the people. Secondly, to create sustainable power. Imagine not having 20-hour brownouts daily. Natural gas is inherently cheaper than diesel—it’s just cheaper,” said Nash.</p><p>Power shortage and high electricity rates have <a href="https://www.abs-cbn.com/news/07/16/22/state-of-power-crisis-idineklara-sa-occidental-mindoro" rel="noopener noreferrer" target="_blank"></a><a href="https://www.abs-cbn.com/news/07/22/22/occ-mindoro-power-crisis-pinaiimbestigahan-sa-kamara" rel="noopener noreferrer" target="_blank">long</a> plagued Occidental Mindoro. In 2023, residents experienced electricity for only about <a href="https://www.abs-cbn.com/business/04/27/23/doe-other-agencies-tackle-electricity-crisis-in-occidental-mindoro" rel="noopener noreferrer" target="_blank">four hours</a> per day.</p><p>The initial plan includes laying an underwater marine pipeline from Batangas, crossing the Verde Island Passage to Abra de Ilog in Occidental Mindoro. The onshore pipeline will follow the Mindoro West Coastal Road.</p><p>The company also plans to lay natural gas pipelines across the province and establish barangay-level gas distribution systems, providing residential and commercial access to natural gas for cooking and modernization.</p><p>Through this natural gas infrastructure project, Occidental Mindoro is expected to be transformed into a province powered by sustainable energy. </p><p>RCNO is investing an initial 25 million dollars, with plans for further exploration of natural gas in Occidental Mindoro.</p><p>“We believe there is an abundance of natural gas here. By integrating pipelines and infrastructure along the highway, we can deliver small taps to each of these villages and essentially create microgrid power sources, so they can have more consistent electricity across the grid,” said Franklin.</p><p>“To integrate power with natural gas, we are preparing to install mainstream infrastructure to deliver LNG and electricity to the people of this island. This province is known for constant power outages, and that’s why we’re investing $25 million right here in the Philippines to begin integration and natural gas exploration,” he added.</p><p>The project will also create jobs—1,000 workers will be needed for the construction of the power plant, and another 3,000 indirect jobs are expected to be generated.</p><div class="twitter-tweet twitter-tweet-rendered" style="display:flex;max-width:560px;width:100%;margin-top:10px;margin-bottom:10px"><iframe id="twitter-widget-1" scrolling="no" frameBorder="0" allowtransparency="true" allowfullscreen="" title="X Post" src="https://platform.twitter.com/embed/Tweet.html?dnt=false&amp;embedId=twitter-widget-1&amp;features=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%3D%3D&amp;frame=false&amp;hideCard=false&amp;hideThread=false&amp;id=1940611608549429265&amp;lang=en&amp;maxWidth=560px&amp;origin=https%3A%2F%2Fod2-workbench-web.abs-cbn.com%2F%23%2Fworkspace%2Fmonitoring%3Fitem%3Durn%3Anewsml%3Aod2-workbench-api.abs-cbn.com%3A2025-07-07T02%3A30%3A20.652523%3A0cdc5116-725b-40ca-ae86-5fde5df85405%26action%3Dedit&amp;sessionId=7dc8749784f2f920d3df3872cae16097b54257e8&amp;theme=light&amp;widgetsVersion=2615f7e52b7e0%3A1702314776716&amp;width=550px" style="position:static;visibility:visible;width:560px;height:316px;display:block;flex-grow:1" data-tweet-id="1940611608549429265"></iframe></div><script async="" src="https://platform.twitter.com/widgets.js" charSet="utf-8"></script><p>“A lot of the equipment, infrastructure, and materials will be imported from around the world, but we’re hoping to build our labor force locally. We also plan to implement a revenue-sharing model,” said Franklin.</p><p>RCNO assured that natural gas is clean and safe.</p><p>“What’s wrong with natural gas? This is the cleanest fuel in the world. It’s better than coal, which is still being used in the Philippines. I think any improvement is a good thing,” said Nash.</p><p> As for when the project will begin, RCNO said they are just waiting for the government’s go-ahead.</p><p>“What we need is proper planning, a thorough feasibility study, coordination, collaboration, and synergy with the local government units—with Governor Gadiano leading the way—then we will be successful,” said Nash.</p><p>“We are going to start executing and strategically planning once we get permission,” added Franklin.</p><p>Gadiano, meanwhile, welcomed the plan to build a natural gas power plant, which could finally solve the province’s energy crisis.</p><p>“I told them to coordinate with OMECO (Occidental Mindoro Electric Cooperative) since OMECO is the distributor. If they’re going to supply electricity, they need to have a Power Purchase Agreement (PPA) with OMECO,” said Gadiano.</p><p>Occidental Mindoro’s current electricity demand is about 32 megawatts. According to RCNO’s proposal, the natural gas power plant can generate up to 50 megawatts—more than enough to meet the province’s needs.</p><p>RCNO said that they are now prepared to proceed with the project launch and mobilization in Occidental Mindoro as soon as they receive approval from the government.</p>

<p>The decades-long power supply problem in Occidental Mindoro may finally come to an end. </p>

The decades-long power supply problem in Occidental Mindoro may finally come to an end.