Semirara gets clearance for P291-B mine expansion
Semirara Mining and Power Corp. (SMPC), the country’s largest coal producer, has realized a major headway for its P291-billion expansion with the go-signal from the Department of Environment and Natural Resources (DENR).
In a disclosure Wednesday, the company said it received from the DENR an amended environmental compliance certificate (ECC) for its plan to expand its Semirara Coal Mine Complex.
Mine developers are required to obtain an ECC before they can pursue projects. This certifies that the planned activities will not harm the environment.
Semirara said the amendment covers widened coverage of the project, from 4,369.25 hectares to 5,221.75 hectares.
The site is within the 13,000-hectare Coal Operating Contract No. 5., which it secured from the Department of Energy (DOE).
Pushing for this development would boost its annual production limit from 16 to 20 million metric tons (MMT) of coal from this year through 2027.
“The ECC amendment allows SMPC to sustain operations by including the Acacia mine alongside the currently operating Narra mine,” it said.
Semirara believes that the Acacia mine, in particular, holds about 80 MMT of coal reserves.
“This amendment supports SMPC’s ongoing operations and is consistent with the mine plan approved by the DOE,” the group added.
Semirara chair and CEO Isidro Consunji previously said that the firm was also hoping to get the DOE’s update on its request to amend its coal operating contract. Set to end in 2026, the contract covers Semirara Island.
The contract allows the firm to launch exploration and development activities, as well as coal-mining operations.
Semirara said the changes would focus on “the adjustment of the term when coal operations were under government control.”
The span of the contract, meanwhile, would depend on the DOE.
For this year, SMPC has earmarked P6.9 billion in capital expenditures, higher than the P6.6 billion estimated investment in 2024.
The firm said P5.8 billion would be injected into its coal operations, mainly for “refleeting initiatives and additional acquisition of mining and support equipment.”
