First Gen Secures P10B BDO Loan for Casecnan Hydro Plant Purchase
- May 14, 2025
First Gen Corp. has secured a P10-billion loan from BDO Unibank Inc. to support the acquisition of the 165-megawatt Casecnan Hydroelectric Power Plant in Nueva Ecija.
The plant was acquired through First Gen’s subsidiary, Fresh River Lakes Corp. (FRLC), marking a significant addition to the Lopez-led company’s renewable energy portfolio.
The Casecnan facility was purchased from the government for P29.5 billion, representing a key milestone in the ongoing privatization of state-owned energy assets.
BDO played a critical role in the transaction, providing the bulk of the financing while also managing the bid bond and dollar funding needs, underscoring a long-standing partnership between the bank and First Gen.
“BDO has long been a trusted partner of the Lopez Group, supporting its most transformative projects,” said Francis Giles B. Puno, Vice Chairman and Chief Executive Officer of FRLC.
“The Bank’s proactive approach and deep understanding of our business allowed for a seamless transaction, from bid submission to closing. Our banking relationship with BDO is invaluable,” Puno continued.
“Our partnership with FRLC on the Casecnan project is a testament to our mission to support sustainable and crucial investments. We remain committed to empowering the energy sector by providing financial resources to fuel progress, meet the country’s growing energy needs and create jobs for Filipinos,” said Charles M. Rodriguez, BDO’s Executive Vice President and Head of Institutional Banking Group.
(Also read: First Philippine Holdings Secures P10-B Loan to Boost Geothermal Expansion)
A dual purpose
The Casecnan Hydroelectric Power Plant in Nueva Ecija serves a dual purpose—supporting both energy security and water resource management.
In addition to generating renewable power, the facility helps maintain the Pantabangan Dam’s water levels, providing irrigation to thousands of farmers in the region
Following its transfer from government ownership to FRLC, the plant continues to operate smoothly, reinforcing its role in ensuring power stability across Luzon. As demand for electricity rises, Casecnan strengthens the region’s energy supply with a reliable renewable source.
(Also read: SPNEC secures P150B loan for MTerra Solar)
A growing clean energy portfolio
The acquisition aligns with First Gen’s broader push to grow its clean energy portfolio, which already supplies 18 percent of the country’s electricity through a mix of natural gas, geothermal, wind, solar, and hydro.
Over the next five years, FRLC aims to boost the plant’s efficiency, integrate it with existing hydro assets, and pursue new renewable energy initiatives.
In a previous disclosure, First Gen reported a 4.9 percent drop in attributable recurring net income, down to $77 million (P4.49 billion) from $81 million (P4.52 billion), mainly due to reduced power sales.
Despite the decline, the company saw a 37 percent rise in contributions from its hydro assets, which climbed to $11 million from $8 million, driven largely by the Casecnan Hydroelectric Power Plant.
Sources:
https://www.sunstar.com.ph/pampanga/bdo-grants-p10-b-funding-to-hydroelectric-power-plant
https://business.inquirer.net/524173/first-gen-gets-p10b-from-bdo-for-casecnan-hydro-plant
