Tag Archives: Masbate

Wärtsilä extends relationship with Masbate gold project in Philippines

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Technology group Wärtsilä has signed a five-year renewal of its Operation and Maintenance (O&M) agreement with Phil. Gold Processing & Refining Corp (PGPRC) for the Masbate gold project (MGP) power plant located on Masbate Island in the Philippines.

Wärtsilä has operated and maintained the power plant since 2009, and the renewal order was booked by Wärtsilä in June 2023.

Phil. Gold operates the processing plant in the MGP operations. Phil. Gold is fully owned by gold producer, B2Gold.

The Masbate mine is around 360 km southeast of the country’s capital, Manila, and has no connection to the grid. The power plant is, therefore, the sole source of electricity, and its operational reliability is essential to maintain the mine’s production schedules.

Ryan Rusk, President at PGPRC, said: “The plant’s availability, efficiency and reliability are critical to our operations. Wärtsilä has provided the professional support to ensure that we get the power we need for the past fourteen years, so it was natural that we continue this agreement.”

Kari Punnonen, Energy Business Director at Wärtsilä, added: “Wärtsilä has extensive experience in providing power to mining operations around the world. The locations can be challenging, often with high ambient temperatures and limited water supplies for cooling purposes. Our engine technology is designed to deal with these conditions, and our maintenance agreements are built around serving the specific needs of each individual customer. We have developed a strong relationship with PGPRC over the years, and we are delighted to continue this cooperation with this contract extension.”

The power plant, which has recently been expanded, has a maximum output of 47 MW. In the Philippines, Wärtsilä has altogether 1,600 MW, 104 MW is operated by Wärtsilä under O&M agreements.

Wärtsilä to continue supplying power for Masbate gold mine in Philippines

Power supply for mines, Precious metals, Sustainable mining, , , , , ,

Wärtsilä has signed a four-year extension to its operation and maintenance (O&M) agreement with PhilGold Processing and Refining Corp (PGPRC), a gold mining operation in the Philippines.

The company’s Masbate mine is dependent upon its own power plant to provide the electricity needed to run its operations, and reliability of supply is mission critical, according to Wärtsilä.
Wärtsilä has run and maintained the plant since 2009, delivering reliability through high plant availability, and enabling PGPRC to consistently meet its production targets. The extension to the agreement was placed with Wärtsilä in June 2019.

The remotely located plant operates on three 18-cylinder and two 16-cylinder Wärtsilä Vasa 32 engines and one 12-cylinder Wärtsilä 32 engine, and has a total power output of 36.93 MW. The plant is located around 360 km southeast of the country’s capital, Manila. There is no connection to the grid, and the island-mode plant is the sole provider of energy to the mine.

Eugene Occena, Process Plant Manager, PGPRC, said: “For the past 10 years Wärtsilä has operated and maintained our power plant, which has freed us up to concentrate on our main business of mining. They have carried out this work with the utmost efficiency and have tailored the agreement to meet our specific needs and wishes.”

Erwin Vanderkerff, Director, Service unit Australasia, Wärtsilä Energy Business, said: “For PGPRC the adjusted agreement means O&M at set cost with no surprises, and technical support always at hand. In this we utilise Wärtsilä Expertise Centre for providing remote operational support and extensive technical support.

“The customer’s evolving requirements have been answered to by the further customised scope of the agreement. Performance guarantees covering heat rate and annual availability of the power plant have been defined. The extended agreement creates peace of mind for PGPRC, and it can concentrate in its core business.”

In the Philippines, Wärtsilä has altogether 2,000 MW of installed power capacity, of which 110 MW is operated and maintained by Wärtsilä under O&M agreements.