Basic Energy and RENOVA Finalize Joint Development and Shareholders Agreement; RENOVA Partners in RDG Wind Energy

Basic Energy Corporation and RENOVA Inc. announced the successful completion of the Joint Development and Shareholders’ Agreement (JDSHA), marking an important development in the continued partnership and progress of RDG Wind Energy Corporation (RWEC).

The closing follows Basic’s fulfillment of the conditions precedent outlined in the JDSHA, with certain items transitioning to conditions subsequent as mutually agreed by the partners. Minor amendments to the JDSHA have been implemented to further clarify the equity allocation between Basic and RENOVA in RWEC.

As a result of the closing, RENOVA officially becomes a partner in RWEC. RENOVA is expected to contribute its expertise and resources to the Mabini Wind Energy Project. A reorganization of RWEC was immediately undertaken, incorporating representatives from both Basic and RENOVA to the board of directors of RWEC, along with the establishment of a new management team consisting of key personnel from both companies.

The Partners are now focused on advancing the project to its next phase, following the completion of a successful wind resource assessment and the issuance of a favorable System Impact Study by the National Grid Corporation of the Philippines (NGCP). These positive outcomes position the project to make significant progress toward becoming a key player in the renewable energy sector.

“We are thrilled to collaborate with Renova on this important initiative,” said Basic Energy Corporation. “Together, we are dedicated to advancing the country’s renewable energy efforts, and we are confident that RWEC will play a pivotal role in meeting the Philippines’ growing energy demands.”

Both Basic and RENOVA remain committed to ensuring that RWEC delivers positive and sustainable impacts to the community, economy, and environment as they continue their joint development efforts.

The Mabini Wind Energy Project is covered by Wind Energy Service Contract No. 2021-01-142 issued by the Department of Energy as disclosed by BSC on March 24, 2021 (PSE Company Disclosure Ref. No. C01909-2021). The service contract has a land coverage area of 4,860 hectares in the Mabini Peninsula with a potential capacity of 50 MW.