Basic Energy Corporation (BSC) has initiated the transfer of shares from its subsidiary, RDG Wind Energy Corporation, to another wholly owned unit, Basic Diversified Industrial Holdings Inc.

This cross-sale is a key step in BSC’s joint development of the Mabini Wind Energy Project, a 50-megawatt venture with Japanese renewable energy firm RENOVA Inc.

The transaction follows the completion of a Wind Resource Assessment (WRA) for the Mabini Wind project, which returned positive results, validating the site’s potential for wind energy generation. It aligns with BSC’s broader strategy to further its collaboration with RENOVA in renewable energy.

In April 2024, BSC entered into a joint development shareholders agreement with RENOVA, forming a 50-50 joint venture through its subsidiary, Mabini Energy Corporation (MEC). Under the terms, BSC will transfer 10 million common shares of MEC to RENOVA at a par value of P1 per share. This transaction will give RENOVA a 50% stake in the Mabini Wind project.

The companies are working to finalize the deal by February 2025. Following completion, BSC and RENOVA will jointly manage the development and implementation of the Mabini Wind Energy Project, a significant addition to the country’s renewable energy capacity.

As part of the agreement, RENOVA will pay BSC a development premium of $150,000 per megawatt, totaling $7.5 million for BSC’s 50% share of the project. With an estimated cost of P5 billion, the Mabini Wind project is expected to be a major player in the Philippines’ clean energy transition.

The ownership structure will see RENOVA holding a majority 51% of MEC’s common voting shares, while BSC will retain 49%. In a bid to maintain an equal economic interest, BSC will also receive 2% non-voting preferred shares. RENOVA will appoint three directors to MEC’s board, while BSC will nominate two.

Source: https://bilyonaryo.com/2025/02/07/basic-energy-targets-february-2025-for-completion-of-mabini-wind-jv/power/