Integrated energy company Semirara Mining and Power Corporation (SMPC) posted P19.6 billion in full year 2024 earnings, a 30-percent decline from P27.9 billion in 2023, as energy markets continued to normalize.
“Despite price corrections, we focused on key factors within our control—maximizing production, achieving record-high coal shipments and power generation. Our disciplined strategy and dedicated team played a crucial role in navigating energy market shifts,” said SMPC President, Chief Operating Officer and Chief Sustainability Officer Maria Cristina C. Gotianun.
In 2024, SMPC set new records, with total shipments reaching 16.5 million metric tons (MMT), coal production hitting 16 MMT for the third consecutive year, and gross power generation totaling 5,358 GWh.
From October to December, SMPC generated P3.9 billion in net income, down 26% from P5.3 billion in the same period last year, due to weaker contribution from the coal segment, while the power segment remained relatively stable.
Q4 Average Newcastle Index (NEWC) edged up by 2% from US$135.6 to US$137.7, while the Indonesian Coal Index 4 (ICI4) dropped 12% from US$58.9 to US$51.8.
Overall average selling price (ASP) of electricity slid 3% from P4.29/kWh to P4.16/kWh, on the combined effect of a decline in spot ASP, higher bilateral contract (BCQ) ASP and improved sales volume.
Quarter-over-quarter (Q4 2024 vs. Q3 2024), SMPC’s net income grew 26% from P3.1 billion, driven by better contributions from the coal segment.
Coal Operating Results
For the fourth quarter, total shipments contracted 19% from 5.3 MMT to 4.3 MMT on lower production and limited inventory of commercial-grade coal.
During the same period, Semirara coal ASP dropped 15%, from P3,305 per metric ton (MT) to P2,821 per MT, on stabilizing market prices and higher proportion of lower-grade coal shipments.
Total production decreased 31%, from 4.2 MMT to 2.9 MMT, following pre-stripping of two new blocks in Narra mine.
Power Operating Results
Total gross generation rose by 8%, from 1,195 GWh to 1,290 GWh, on expanded average capacity of SEM-Calaca Power Corporation (SCPC) following restoration of SCPC Unit 2’s dependable capacity to 300 MW on May 27.
As a result, total power sales rose by 13%, from 1,078 GWh to1,223 GWh, with the majority (56%) of generated electricity sold to the spot market.
BCQ ASP jumped 15% from P4.09/KWh to P4.70/KWh, while spot ASP fell by 15% from P4.38/KWh to P3.73/KWh.
At the end of the year, 30% of the 840MW dependable capacity of the power segment is contracted. Net of station service, which fluctuates periodically, SMPC has 504.10MW available for sale to the spot market.
Article courtesy of the Philippine Stock Exchange
