MANILA - Semirara Mining and Power Corp. on Thursday said it received its amended Environmental Compliance Certificate that allows it to boost production at its Molave Coal Project in Antique.
The Consunji group's mining firm said from the current 12 million metric tons, it will be allowed to increase its annual production rate to no more than 16 million metric tons.
The area of its Molave Pit (West Panian) is also increased from 300 hectares to 400 hectares, while total reservoir capacity becomes 10 million cubic meters from the current 8.9 million cubic meters).
B.A. Securities analyst Arbee Lu said this is good news for Semirara and its investors, although it will take time to feel the impact of the expansion.
"I don't think they'll be able to immediately act upon this because it's a big difference. They're going to have to tweak [operational] settings. When it comes to the actual impact of this, this may be a little later," Lu said.
Semirara shares are down alongside most other blue chips on Thursday morning as the Philippine Stock Exchange index rally lost steam.
Share price ended morning trade at P130.20, down 0.4 percent. Before today's drop, Semirara shares had been trading at 3-month highs. Year to date, Semirara shares are down by over 4 percent.
As more economies and companies start to green their supply chains and as coal continues to get bad press for its harmful effects on the environment, Lu said Semirara may soon have to look at shifting to renewable energy.