Titan Exploration Corp. is looking at P1.5 billion worth of coal reserves equivalent to 200 million metric tons of medium- to high- grade coal from five coal fields located in Zamboanga Sibugay and Davao Oriental provinces.
The Energy Department yesterday awarded Titan Exploration three coal operating contracts, the largest given to a single company this year.
The five contracts cover a total of 11,000 hectares in Zamboanga Sibugay (Siay, Payao, Diplahan and Buug) and 7,000 hectares in Davao Oriental (Manay).
The department awarded coal operating contracts 166, 167 and 168 to Titan Exploration. The company said it was prepared to invest around P137.44 million for the three coal projects.
The department in September also awarded two contracts to Titan Exploration for area 15 (Payao, Zamboanga, Sibugay) and Area 17 (Manay, Davao Oriental). Titan Exploration committed around P135 million for exploration works in the two previous contracts.
Titan Exploration will implement more advanced exploration to determine the measured and positive reserves of the different areas.
“The awarding of the five coal contracts will allow us to build up our exploration and development portfolio, as well as increase local coal production to help the country reduce the reliance on energy imports,” Titan Exploration president Jaime Ang said.
The company plans to supply coal to power plants, cement factories, canneries and other manufacturing concerns in Mindanao.
Ang said the company planned to start coal production starting in the second quarter of next year.
Titan Exploration’s coal project is expected to provide around 18,000 jobs.
“With Titan Exploration’s huge potential coal reserves, it will soon be the next big player like Semirara Mining Corp. in the short term,” Energy Undersecretary Ramon Oca said.
Titan Exploration is a mining company that focuses on establishing the fastest mine-to-market strategy with the objective of pushing forward with the shortest lead-time from development to production of its coal mines. It is an affiliate of John Tiu Ka Cho Group of Companies.
The Energy Department also awarded two other coal contracts to Black Gem Resources and Energy Inc. and Dell Equipment and Construction Corp. to explore coal in Tarragona, Davao Oriental and South Cotabato, respectively.
Black Gem will invest P39.6 million while Dell Equipment will invest P57.78 million.
