Basic Energy Corp. raised 50 million yen (P22.673 million) to start due diligence work on Solmax Power Ltd., a Hong Kong-based company with solar projects in Japan.

“Basic has signed the investment term sheet and has remitted a refundable earnest deposit to Solmax in the amount of 50 million Japanese yen to trigger the due diligence work to be conducted by Basic on Solmax,” Basic said in a disclosure to the stock exchange on Friday.

Basic Energy earlier announced that it was looking at solar investment opportunities in Japan through Solmax.

“Solmax is a company incorporated in Hong Kong. In the immediate future, we will be undertaking due diligence on Solmax and its solar projects in Japan,” Basic Energy senior vice president Anthony Cuaycong said.

“We will have more info during the time we will be undertaking due diligence but for us to undertake, or be given opportunity to look at Solmax and its projects, we need to give refundable deposit…If we are satisfied, our deposit will be turned into equity. If it is not, it will be returned,” Cuaycong said.

Basic Energy announced last year it was looking for joint venture opportunities for solar and geothermal power projects in the pipeline.

Basic Energy president Oscar De Venecia Jr. earlier said the company wanted to develop renewable energy projects that could bring short-term revenue in the company.

The company also signed a partnership agreement with solar power developer Nv vogt Singapore Pte, Ltd. for the development of solar power projects in San Fabian and Bolinao, Pangasinan.

Source: http://thestandard.com.ph/business/power-technology/242496/basic-eyes-solar-projects-in-japan.html