Aseagas borrows capital to build biomass plant

Aseagas, a joint venture between Aboitiz Equity Ventures and Gazasia, has received financial support for its first biomass plant from the Development Bank of the Philippines (DBP).

According to reports, Aseagas has entered into a P2 billion (€33.7 million) notes facility and security agreement for its plant, to be built in at the LT Group's Absolut distillery in Lian Batangas.

The plant will generate 9,000 tonnes of methane annually from organic waste by-products – enough to fuel 200 buses. The fuel will be sold to commercial vehicle fleets and public transport running on gas.

The disclosure to the Philippine Stock Exchange said the new plant will be used 'to finance the construction of Aseagas' first biomass renewable energy plant'.

Completion of the facility, which is the first of five such plants planned by Aseagas, is slated for 2015.