BusinessMirror July 31, 2021

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NESTHY PETECIO and Colombia’s Yeni Marcela Arias Castañeda exchange punches in the women’s featherweight 57-kg boxing match at the 2020 Summer Olympics, Wednesday, July 28, 2021, in Tokyo, Japan. AP/FRANK FRANKLIN II

By Jun Lomibao

OKYO—Nesthy Petecio squares off with a taller opponent anew on Saturday, hoping to nail a victory against Italy’s Irma Testa to get into the gold medal play in women’s featherweight class of boxing at the Tokyo Olympics. Similarly, another boxer, flyweight Carlo Paalam, and pole vaulter Earnest John “EJ” Obiena will share the spotlight in the Philippines’s weekend Olympic campaign that is now wanting of another winner after Hidilyn Diaz, who’s now home serving a seven-day hotel quarantine with her weightlifting gold medal. “We have a game plan against the Italian girl. She’s similar with the [Chinese] Taipei girl, but she hooks and sways back,” said Philippine boxing coach Don

Abnett of Australia. “So we’re going to make a counter move, but I’m comfortable with Nesthy’s performance.” Petecio is fighting a taller Irma, just like top-seeded Lin Yu-Ting, who she eliminated in the round-of-16. Paalam, on the other hand, needs to get through a more experienced Algerian Mohamed Flissi to see himself securing at least a bronze medal. “Carlo’s opponent is a very experienced boy. He’s boxing in the WSB [World Series of Boxing],” Abnett said of Flissi. “But Carlo’s going to get moving, similar to the game plan that he did in his last fight. He probably just continues with that.” Juvic Pagunsan, meanwhile, needs to summon all of his golf smarts after faltering with a two-over 73 that dropped

him into a tie for 25th place after two rounds of men’s individual play in golf at the Kasumigaseki Country Club. Pagunsan dropped to three-under overall, 20 places down the standings that saw the US’s Xander Schauffele carding a 63 to rest the lead at 11-under total. Obiena? The 25-year-old is finally bringing his act to the Olympic stage also on Saturday against a world-class field at the Tokyo Olympic Stadium. He will be shooting for 12 slots in the finals against the who’s who in the event—World No. 1 Armand Duplantis of Sweden, No. 3 Piotr Lisek of Poland, No. 5 Christopher Nilsen of the US and No. 7 Thiago Braz of Brazil.

More Olympics stories in Sports A14

TOKYO OLYMPICS MEDAL COUNT RANK

TEAM/NOC

GOLD

SILVER

BRONZE

TOTAL

1

People’s Republic of China

18

9

11

38

2

Japan

17

4

7

28

3

United States of America

14

16

11

41

4

ROC

10

14

10

34

5

Australia

9

2

11

22

6

Great Britain

6

9

9

24

7

Republic of Korea

5

4

6

15

8

Netherlands

3

7

5

15

9

France

3

5

5

13

10

Germany

3

4

9

16

34

Philippines

1

0

0

1

ROTARY CLUB OF MANILA JOURNALISM AWARDS

SOURCE: OLYMPICS.COM | AS OF JULY 30, 2021 8:21 PM

After Hidilyn, PHL athletes brace for tough fight

EJAP JOURNALISM AWARDS

2006 National Newspaper of the Year 2011 National Newspaper of the Year 2013 Business Newspaper of the Year 2017 Business Newspaper of the Year 2019 Business Newspaper of the Year

BUSINESS NEWS SOURCE OF THE YEAR (2017, 2018, 2019)

DEPARTMENT OF SCIENCE AND TECHNOLOGY

2018 BANTOG MEDIA AWARDS

PHILIPPINE STATISTICS AUTHORITY

DATA CHAMPION

www.businessmirror.com.ph

A broader look at today’s business n

Saturday, July 31, 2021 Vol. 16 No. 290

P25.00 nationwide | 14 pages | 7 DAYS A WEEK

By Lenie Lectura

P

RECIOUS gas from the Malampaya Deep Water Gasto-Power Project is depleting faster than anticipated.

THE Malampaya Deep Water Gas-to-Power Project, located 50 km offshore Northwest Palawan. PHOTO COURTESY SHELL

supply contracts with Malampaya in 2024. “Today, Malampaya produces less than 400 MMscfd which is lower than the average total demand of all of the existing gas-fired plants of around 450 MMscfd,” said Russell via e-mail.

Liquid fuel imported

THE gas restrictions have forced First Gen to import liquid fuel to ensure continued supply of all their plants’ full capacity to the grid. “Although liquid fuel such as condensate may be more expensive than natural gas, the ability of First Gen’s plants to run on liquid fuel enables continued availability of electricity supply to the grid and minimizes price spikes in the WESM [Wholesale Electricity Spot Market] that would result if the gas-fired plants did not run due to Malampaya gas supply restrictions,” explained Russell. Even Dennis Uy-led Malampaya Energy XP Pte Ltd., which acquired the 45-percent stake of Shell Philippines Exploration (SPEX), sounded the alarm. “The country will surely be short of natural gas by 2022,” it said in a statement. To make matters worse, the gas field is set to undergo maintenance shutdown in October this year.

GOING, GOING, GONE? They said it would run till 2027, but gas from Malampaya is depleting faster than projected, leaving a lawmaker and some industry players worried about another power crisis.

PESO EXCHANGE RATES n US 50.3420

“Certain Meralco suppliers that source fuel from the Malampaya project informed us of the scheduled maintenance at the Malampaya facilities from October 2 to 22. During that period, gas supply will be completely curtailed, as per their advisory,” said Meralco utility economics head Lawrence Fernandez in an interview. More than a quarter of Luzon is powered by natural gas. The gas plants generated 56 percent of the 2.5-billion-kilowatt-hours purchased by Meralco in April this year, making natural gas the single most impactful electric power source for Metro Manila. Meralco has supply contracts with First Gen’s Santa Rita, San Lorenzo, San Gabriel and with Ilijan plant. The utility firm, which distributes electricity to more than seven million subscribers, is bracing for an increase in power-generation charge after the Malampaya gas facility shuts down in October. “Yes, we anticipate that there will be an increase in generation charge as always because the 1,500 megawatts of natural gas will be replaced by liquid fuel. But, as of this time, it’s very difficult to speculate how much exactly the increase will be because Continued on A2

ANDREY SUSLOV | DREAMSTIME.COM

Power plant operators that source fuel from Malampaya and the soon-to-be operator of the country’s sole natural gas field observed that gas production shortfall is bound to happen very soon. And with that, another power crisis could hit the country. “It has started already. It was supposed to happen in 2027. First Gen, the biggest buyer of Malampaya gas, reached out to us. They gave us a briefer. I am puzzled as to why there had been gas restrictions. Dire-diretso na iyan [There’s no stopping that]. Hindi na babalik sa [It won’t return to] normal level. It’s six years earlier. This is very worrisome for all of us,” said Senate Energy Committee chairman Sherwin Gatchalian in an interview. According to Gatchalian, the Malampaya gas field will be completely exhausted by the first quarter of 2027. Citing data from the DOE, the remaining gas in the Malampaya field as of end-September last year stood at 858,834 million standard cubic feet (MMscf). The Malampaya gas restriction occurred late March up to mid-June this year. This resulted in the derating of the country’s largest natural gas plant—the 1,200-megawatt (MW) Ilijan plant—to 716MW, which prompted the issuance of red alerts in the Luzon grid. Thereafter, rotating power outage occurred. There was no clear reason provided by the Malampaya consortium as to why this happened. The Department of Energy (DOE) was supposed to meet industry stakeholders to address the gas restriction, but the situation improved ahead of the meeting. According to First Gen Executive Vice President and Chief Commercial Officer Jonathan Russell, the gas field is currently producing less than required by all of the existing gas-fired plants. Malampaya currently supplies five gas plants with a combined capacity of 3.2 gigawatts under term supply deals due to expire in 2024. These are Ilijan, 1,000MW Santa Rita, 500MW San Lorenzo, 97MW Avion and the 420MW San Gabriel. Except for Ilijan, all four gas plants are owned by First Gen. “Based on the experience this year, Malampaya supply seems to be declining faster than previously suggested, way ahead of the expiry of First Gen’s plants’ gas

n JAPAN 0.4599 n UK 70.2925 n HK 6.4787 n CHINA 7.7970 n SINGAPORE 37.2270 n AUSTRALIA 37.2279 n EU 59.8566 n SAUDI ARABIA 13.4231

Source: BSP (July 30, 2021)


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