Lopez-led First Gen Corp. is ramping up efforts to boost its renewable energy portfolio by tapping Mindanao’s geothermal potential. Through its subsidiary, Energy Development Corp. (EDC), the company is preparing to drill exploratory wells in the region, with initial fieldwork for the Amacan project in Davao de Oro slated to begin within the year.
The Amacan site marks First Gen’s entry into greenfield geothermal development in Mindanao, a move aimed at reinforcing its long-term shift toward clean energy expansion.
EDC President and COO Jerome Cainglet said the company is actively exploring new greenfield geothermal prospects, including potential sites near Mount Zion in the Davao Region and the Buguias-Tinoc area in Benguet. “We are still looking for more greenfield geothermal projects, but what is most immediate is the Amacan project, which is in Mindanao,” he confirmed.
EDC, the country’s top geothermal energy producer, also manages hydro and wind projects within its renewable energy portfolio. In October, the company won the bid to develop the Buguias-Tinoc Geothermal Power Project, which has a potential capacity of 100 megawatts (MW), following the Department of Energy (DOE)’s fourth round of competitive selection.
(Also read: Axelum Partners with First Gen to Boost Renewable Energy Use)
40 geothermal wells by 2026
EDC is undertaking its most ambitious geothermal drilling campaign to date, with an estimated investment of ₱30 billion to develop 40 wells by 2026. So far in 2024, the company has already completed 24 new wells, ramping up operations by increasing its rig count from just one at the beginning of the year to seven.
Additionally, the company is nearing the completion of a three-year drilling initiative aimed at boosting its geothermal capacity. Out of the 40 wells targeted from 2024 to 2026, only 11 remain—six of which are scheduled for drilling this year and five in 2026.
The campaign, with a total projected cost of ₱30 billion, is expected to add around 85 MW of capacity. While some wells underperformed, others exceeded expectations, prompting optimism that the final output could surpass initial estimates. EDC is currently focused on completing the remaining wells as it intensifies efforts to expand its geothermal footprint.
The new geothermal output comes from multiple projects, including the 20-MW Tanawon, 29-MW Palayan Binary, 5.6-MW Bago Binary, and 28-MW Mahanagdong Binary plants.
EDC is also commissioning 40 megawatt-hours of battery energy storage to enhance grid stability and provide backup power. Its battery storage systems include the 10-MWh Tongonan BESS, 20-MWh BacMan (Bacon-Manito) BESS, and 10-MWh Negros BESS, forming part of EDC’s broader effort to strengthen its clean energy infrastructure.
(Also read: Coca-Cola Adopts Competitive Power Market for Sustainable Energy in Mindanao Plants)
Expanding its renewable energy portfolio
EDC operates more than 1,464.5 MW of installed capacity, nearly 20% of the Philippines’ total renewable energy output. A significant portion of this comes from geothermal power, with EDC’s facilities making up 80% of the country’s geothermal capacity and positioning the Philippines as the third-largest producer globally.
Looking ahead, the company is targeting a renewable energy portfolio of 13 gigawatts by 2030.
First Gen is scaling down its natural gas holdings as part of a broader pivot to renewable energy, highlighted by the recent sale of a 60% stake in its gas assets to Prime Infrastructure Capital, Inc.
While the company acknowledged the continued role of natural gas in the country’s energy transition, it reaffirmed its commitment to expanding its portfolio in solar, wind, hydropower, and geothermal initiatives.
Sources:
https://tribune.net.ph/2025/06/08/edc-eyes-85mw-boost-from-11-geothermal-wells
