Daily Tribune
SEMIRARA Mining and Power Corp., today, remains the only power producer in the country that both mines and uses its own fuel and continues to supply the bulk of domestically produced coal.
Photograph courtesy of Semirara Mining and Power Corporation
Semirara Mining and Power Corp. (SMPC) reported a 12 percent decline in first-quarter net income to P3.8 billion, down from P4.4 billion a year ago, as weaker power generation and lower coal shipments weighed on results.
In a stock exchange filing on Thursday, the Consunji-led firm said revenues slipped 7 percent to P15.43 billion from P16.51 billion in the same period last year, mainly due to lower electricity sales and reduced coal shipment volumes, partly offset by stable coal prices and a more favorable power sales mix.
Coal production rose 4 percent to 5.9 million metric tons (MMT) from 5.7 MMT, supported by improved access to coal seams at the Narra mine, which is nearing depletion this year.
However, total coal shipments declined 4 percent to 4.5 MMT from 4.7 MMT, mainly due to lower export volumes, while domestic demand remained stable.
Average selling price for Semirara coal was largely unchanged at P2,479 per metric ton, compared with P2,481 previously, as a higher share of lower-grade shipments offset gains from stronger global benchmarks.
During the period, the average Newcastle Index increased 13 percent to $118.8 from $105.4, while the Indonesian Coal Index 4 rose 6 percent to $52.4 from $49.3.
Power sales dropped 22 percent to 1,120 gigawatt-hour (GWh) from 1,427 GWh due to weaker plant performance.
Sales were skewed toward contracted volumes, which made up 61 percent of total electricity sold, with the remaining 39 percent dispatched to the spot market.
Despite lower volumes, the overall average electricity selling price increased 3 percent to P4.54 per kilowatt-hour (/kWh) from P4.42/kWh, driven by a higher share of contracted sales.
Spot electricity prices in the Luzon-Visayas grid declined 5 percent to P3.45/kWh from P3.63/kWh amid softer demand in the Wholesale Electricity Spot Market.
As of the end of March, 49 percent of SMPC’s 860 megawatts (MW) dependable capacity was contracted, leaving 363.3 MW available for spot market sales after accounting for station service requirements.
This year, the company said it plans to significantly reduce its 2026 capital expenditures to about P1.9 billion, down from P5.9 billion in 2025, mainly due to the absence of major equipment upgrades in its coal operations.
