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| Tanganon Geothermal Plant, Leyte Island, Philippines, by Cepi Budi Mansyur. GRC PHOTO CONTEST 2010 |
Phinma Energy Corp. and Power Sector Assets and Liabilities Management Corp. (PSALM) have agreed to mutually terminate the administration agreement for the 40-megawatt strip of energy of the Unified Leyte Geothermal Power Plant.
“The termination allows the company to improve its supply costs while maintaining a diversified portfolio. The company has settled all its obligations with PSALM,” Phinma Energy disclosed to the Philippine Stock Exchange Friday.
The company said it would withdraw the case it filed earlier and drop further claims.
Phinma Energy filed a complaint and sought a temporary restraining order against state-run PSALM with the Makati City Regional Trial Court in September for terminating its agreement and forfeiting on the company’s performance bond because of alleged default.
The company filed the complaint against PSALM and its former President Emmanuel Ledesma Jr.
The case sought to restrain PSALM from terminating the administration agreement for the selection and appointment of independent power producer administrators for the strips of energy of the Unified Leyte Geothermal Power Plants located in Tongonan, Leyte on grounds of administrator’s default.
From the Global Geothermal News archives:
- Wednesday, May 11, 2016 - Philippines: Sale of Unified Leyte Geothermal Power Plant Capacity Not Set
- Wednesday, January 13, 2016 - Philippines: PSALM Wants to Auction Off Remaining 40 MW of Unified Leyte Geothermal Power Plant
- Friday, September 11, 2015 - Philippines: PSALM May Sell Off Unified Leyte Geothermal Power Plant Contract