A DUBAI-BASED firm’s $5-billion investment in a 200-hectare “Energy City” in Pangasinan can employ as many as 14,000 people upon completion.
Diversified business Kampac International Plc., the holding company of Kampac Oil ME FZCo, is pursuing its plan to build a $5-billion Energy City in Sual, Pangasinan, said Philippine Chamber of Commerce and Industry (PCCI) Chairman Miguel B. Varela on Friday.
The substantial investment of the UAE-based firm was announced late in 2013. The firm initially set its sights on building the energy city in Southern Luzon. The project has since been relocated to Northwest Luzon, specifically in Sual, Pangasinan, Varela said, due to “difficulty in consolidating property” in Laguna, the initial site.
Late in 2013 Kampac signed a memorandum of agreement with PCCI on the “Energy City” project for possible involvement of the organization.
According to the web site of Kampac, infrastructure for the 200-hectare Kampac Energy City may include three refineries with a total refining capacity of 1 million barrels a day, a petrochemical plant with an annual capacity of 1.5 million tons, a storage capacity of 50 million barrels of oil, a re-gasification plant, 10 kilometers of pipelines throughout the complex and a water-treatment company.
Kampac said that upon, completion, Energy City will be worth over $7 billion.
Charles Ampofo, Chairman of Kampac International Plc. was quoted in an earlier report as saying this is intended to boost the country’s energy supply.
The oil and gas company has bid out the contract for the construction of port infrastructure in Pangasinan and construction firms FF Cruz and EEI Corp. are the enlisted contractors, Varela said.
Port infrastructure is a pre-requisite to an oil-refinery complex which will use substantial amounts of water in the refining process.
The ground-breaking, initially reported as slated for March 2014, has been moved back to March 2015 and may be completed in December next year, Varela said.
He said the firm will bring in the oil and refine it in the country for local consumption and also for export.
A Philippine Business Report published by the Department of Trade and Industry said Kampac plans to distribute and sell oil in Southeast Asia with the Philippines as its distribution hub.
Kampac International PLC is the holding company of Kampac Oil, its primary business, with diversified investments including Kampac Travels, Kampac Properties, Kampac Flora, Kampac Telecom, and Kampac Resources.
Kampac Oil is in oil and gas exploration, trading, refining, distribution, oil infrastructure development, equipment supplies and oil services.