PetroEnergy to boost capital via rights offer

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PETROENERGY Resources Corp. (Perc) is looking at raising P1 billion via rights offer to boost its capital.

In a disclosure on Thursday Perc said it expects to raise gross proceeds of approximately P1 billion.

“The offer price and other details of the offer will be announced as soon as determined,” Perc told the Philippine Stock Exchange.

No other details were provided.

During an annual stockholders’ meeting the other day, company officials said they expect full-year income to grow by 33 percent, from $5.9 million last year.

“Our forecast is upbeat for 2017, since our first-half performance already show a marked improvement in revenues and net income compared to the same period last year,” Perc President Milagros Reyes said. “If this efficiency is maintained, we project a 33-percent increase in our net income at the end of this year.”

The company’s net income for the first half of the year is expected to grow by 179 percent from $2.34 million during the same period last year. “With our full-year operation in our geothermal and wind-power projects and the 10 months of our solar farm, our consolidated revenues climbed up to $33.6 million in 2016, compared to $23.5 million in 2015,” Reyes added.

About 85 percent of the company’s revenues come from its renewable-energy business, while the remaining 15 percent is from oil and gas operations primarily the Gabon oil project.

The Gabon oil project in West Africa contains 88 million barrels of recoverable oil. So far, the project has earned P5.5 billion for the company since the start of production in 2002.

Perc’s geothermal, wind- and solar-power projects include the 20-megawatt (MW) Maibarara geothermal power plant, the 36-MW Nabas wind project and 50-MW solar project in Tarlac.

“We continue to operate our existing geothermal, wind and solar plants,” Reyes said. “We plan to expand these to bring up our total generation capacity to 200 MW in the coming years.”