Listed mining firm Nickel Asia Corp. said one of its renewable energy subsidiaries has officially lost its geothermal contract in Mindoro due to long delays, with the company ordered to pay $120,000 (around P6.99 million at $1 = P58.25) for unpaid fees.
In a disclosure to the Philippine Stock Exchange, Nickel Asia said the Department of Energy (DOE) had notified Mindoro Geothermal Power Corp. (MGPC) on Oct. 13 that its geothermal renewable energy service contract had been finally and irrevocably terminated.
MGPC is a unit of Emerging Power Inc. (EPI), which is wholly owned by Nickel Asia.
‘MGPC will settle the financial obligation within the period required by the DOE stated in the Letter,’ Nickel Asia Corp. said in its regulatory filing.
The company is required to settle the payment for training assistance obligations within 30 days after receipt of the DOE’s termination letter.
The project, known as the Montelago Geothermal Power Project, had been part of Nickel Asia’s early renewable energy ventures and was launched as the miner sought to diversify beyond its core nickel operations.
The termination effectively ends more than a decade of efforts to develop the geothermal site.
The mining company said that the write-off of its investment in EPI related to MGPC had already been reflected in its 2024 audited financial statements.
The P8-billion project covers the development of the Montelago field and the generation of 40 megawatts of geothermal power, intended to supply both Occidental and Oriental Mindoro.
Earlier in August, Nickel Asia Corp. reported that it posted strong earnings during the first half of 2025, boosted by higher ore export prices that offset lower production.
The company said its net income for the period surged by 88 percent to P2.1 billion, up from P1.12 billion in the same semester last year.
Total ore sales jumped to P10.59 billion, a 36 percent increase from P7.79 billion, as weighted average prices rose 44 percent to $23.87 per wet metric ton (WMT) from $16.6 per WMT.