Pantabangan-Masiway assets valuation set a $240M
By MYRNA M. VELASCO

The value of the 112-megawatt Pantabangan-Masiway hydropower assets of First Gen Corporation due for divestment to affiliate firm Energy Development Corporation (EDC) already climbed to $240 million from the acquisition price of $129 million for the same assets from the Power Sector Assets and Liabilities Management Corporation two years ago.

The valuation figure was provided by Punongbayan & Araullo, a financial advisor for the transaction and was disclosed to the Philippine Stock Exchange (PSE) by both First Gen and EDC.

It was learned that the appraised value of the hydro assets is now higher because the Lopez group already made some refurbishments that enhanced the operating efficiencies of the two plants.

EDC has offered to buy 60-percent stake in First Gen Hydro Corp., the corporate vehicle for the Pantabangan-Masiway plants, for $105 million; a deal which is targeted to be consummated by the end of the year.

According to Punongbayan and Araullo, the valuation was based on the term sheet agreed upon by EDC and First Gen.

“This is below the range of values we have derived amounting to $262.9 million to $312.4 mullion,” the advisory firm said.

It added that the lower enterprise value drawn in the term sheet “is favorable to EDC from a financial point of view.”

Meanwhile, First Gen vice president Victor Santos Jr. has stipulated in a disclosure to the local source that the proceeds from the transaction “will be utilized by First Gen for its general corporate purposes, including satisfaction of the company’s maturing obligations.”

On the part of EDC, this will be its window “to expand its renewable power generation projects jointly with First Gen.”

All terms in this $105-million transaction will be contained in the Share Purchase and Investment Agreement (SPIA) to be signed by the parties.

These shall include the terms and conditions of the transaction; and the terms and nature of payment or settlement method..

Fifth-class town eyes title as Nueva Ecija’s ‘fruit basket’
By Magtanggol Vilar

LICAB, Nueva Ecija – This fifth-class town on its way to becoming the “Fruit Basket of Nueva Ecija.”

This goal was set by Mayor Willie Domingo several years ago, but its realization came about recently when he entered into an agreement with the country’s top pomologist, Bernie Dizon, on the supply of certified seedlings and technology.

Domingo said he intends to have each of the 11 villages in his town grow one crop of mango and other staple crops that would serve as a sort of “designer item.”

This is expected to produce income for the hard-working farmers in the town and establish a permanent, income-generating industry in his town.

Domingo said he is eyeing the lucrative international, domestic multiple-rooted fruit tree seedling market. “Who knows, we might yet make it Fruit basket of the Region,” he said.

He said that Dizon will supply the town with seedlings of various mango varieties such as Guimaras, Sweet Elena, Chocanan, Golden Queen, Eating Green, Nancocman, Harumanis or Millennium.

Domingo also opted for malunggay and ilang-ilang for their commercial value .

Mayor Domingo, a man who has his own mango symbology etched everywhere at his four-hectare farm in poblacion proper here, believes that there is big money in the culture and production of mango.

A visit to his farm indicates that Mayor Domingo savors everything and anything about mango. Etched in the middle of a swimming pool is the unmistakable shape of a mango. There’s a bust of a beautiful lady caressing a mango.

Aware of the notoriety that his town has gained in the past eight years as “a sort of wild west” as a result of the many unsolved killings and rampant violent incidents, Domingo wants a change of image.

Instead of a violent character, why not a venture that would require all hands toiling to make a clean-cut image, and so he thought of working along his lifetime fancy for mangoes, sweet and delicious mangoes.

Nueva Ecija farmers coop, firm sign agreement on hybrid rice seeds

A partnership agreement was signed over the weekend between the Pinagkaisa N.E. Primary Multi-Purpose Cooperative, Inc. (PNEPMPC) of Gen. M. Natividad, Nueva Ecija, and SL Agritech Corp., the country’s top producer of hybrid rice seeds.

Gemma Tomas, chairperson of the 300-strong farmers’ group, and Henry Lim, chairman and chief executive officer of SL Agritech Corp., signed the agreement at the office of Gen. M. Natividad Mayor Librado Santos.

Under the agreement, SL Agritech will provide the farmer-members of the coop with hybrid seeds (SL-7H F1 and SL-9H), including fertilizers and insecticides.

“We will provide them with all these inputs on credit and we will also buy all their harvested seeds based on the prevailing market price,” Lim said, adding that SL Agritech Corp. is increasing the production of its hybrid seeds to cope with the demand of farmers nationwide.

Lim noted in the past months “the growing demand of our seeds by farmers all over the country.”

Many farmers are planting the hybrid rice because they are now convinced that, indeed, it has substantially increased their production and income.”

SL Agritech Corp. manages a 40-hectare hybrid rice research center in Barangay Oogong in Sta. Cruz Laguna, and a 700-hectare hybrid rice seed production area in Lupon, Davao Oriental.

It has also developed over 100 hectares of farms in Tabuk, Kalinga, for massive hybrid rice seed production.

Those who witnessed the signing were former food minister Jesus Tanchanco, SL Agritech official Cathy Galura, senior vice president; Dr. Noel G. Mamicpic, vice president for research; Marciano Aaron, managing consultant; Joe Santos, assistant vice president for rice operation; Donna Lim, finance manager; Joh Dungca, marketing manager; and Doy Carino regional sales manager.

October 14, 2008
Manila Bulletin

Bountiful onion harvest forecast
By Magtanggol C. Vilar

BONGABON, Nueva Ecija – This town’s 2,850 onion farmers are bullish about the coming harvest which was described as “bountiful.”

Bongabon Mayor Amelia A. Gamilla cited the full support for the farmers of Agriculture Secretary Arthur Yap in the form of certified seeds, a multi-million-peso irrigation network and portable irrigation generators, and coupons for P250 fertilizers subsidy.

It was also noted that the importation and smuggling of onions have been limited to almost nil.

It was recalled that last Sept. 2 on the occasion of the 112th Unang Sigaw ng Nueva Ecija, President Arroyo distributed P1.2 billion in loans and subsidies to members of 48 farm cooperatives in the province.

After the distribution, the President asked the Novo Ecijano farmers to help feed the nation.

Gov. Aurelio M. Umali responded, saying that Nueva Ecija is helping meet the country’s need for dollars through export of several agricultural products such as brown rice, rice, coffee and handicraft.

October 13, 2008
Philippine Daily Inquirer

Melamine care ups carabao milk demand
By Alselmo Roque

SCIENCE CITY OF MUÑOZ – Demand for fresh carabao (water buffalo) milk and products derived from it increased here amid reports of melamine contamination of milk and milk-based products from China, officials of the Philippine Carabao Center (PCC) here said.

“Our sales in September rose to P437,000 from the August sales of P380,000 said Mina Padilla-Abella, in-charge of the milk processing unit of the PCC at the Central Luzon State University here.

“The melamine scare could be one of the reasons for the increased demand for our milk and milk products,” she said.

The commodities produced by the village-type processing unit here are pasteurized milk, choco milk, cottage cheese, yogurt, lacto juice and milk candy. Raw milk comes from purebred and crossbred carabaos.

Padilla-Abella said the Nueva Ecija Federation of Dairy Cooperatives Inc. and the DVF Dairy Farm, both based in Talavera town, also noted the increased demand for carabao milk and products derived from it.

The scare over the contaminated milk was brought about by the reported deaths in China of at least four infants due to melamine-tainted milk. Melamine is a substance used in the manufacture of plastic products.

“Our gross sales could have been more if we had enough supply of raw milk,” Padilla-Abella said.

“The water buffalo milk is considered the finest among dairy animal milk,” said Dr. Libertado Cruz, PCC executive director.

“It is safe, nutritious and organic because of the nature of its feed,” Cruz said.

“The demand for carabao milk is whetting the appetite of more farmers to own crossbred dairy carabao,” he said.

A crossbred carabao, a cross between the Murrah buffalo and the native carabao, yields three to five liters of milk a day compared to the native breed’s one to two liters. Harvest from a purebred carabao is at least six liters a day.

Cruz said measures to increase the number of crossbred and purebred carabaos include artificial insemination, a bull loan project and importation.

He said there is more demand than supply of milk, citing 2007 PCC records showing that the country spent $652.45 million (about P35 billion) for milk and milk products importation.

As milk is highly perishable and can easily be contaminated, the PCC assists members of local dairy cooperatives in processing raw milk and developing milk products.

“Our experts train cooperatives members on milk hygiene – from collection to processing,” Cruz said.

Among the hygienic ways emphasized are bathing the animal and disinfecting their teats before milking, putting milk in disinfected stainless containers, pasteurizing it at the correct temperature and other sanitary procedures before the milk is sold.

“We are intensifying efforts in organizing and assisting our farmers to become dairy entrepreneurs. Our center has established national and regional impact zones in which the concept of dairy enterprise was put in place,” Cruz said.


Photo caption: SALES of carabao milk have increased in Nueva Ecija since the melamine scare reached this province.

Livelihood windfall unveiled for 1,000 Pantabangan families
By Manny Galvez

PANTABANGAN, Nueva Ecija – A cash windfall amounting to a whopping P100 million to serve as seed money for livelihood has been unveiled by the municipal government to an initial 1,000 poor families in this town.

Mayor Romeo Borja Sr. told reporters that each of the beneficiary family will be given P100,000 as start-up capital for family-based agri-business livelihood ventures. He said that among the beneficiaries of the livelihood package are families of charcoal makers.

Charcoal making has been posing as a major headache for the municipal government which, however, was able to convince them to stop their illegal trade in exchange for other alternative sources of livelihood such as farming.

Borja said that the funds for the livelihood project will be sourced from the collections of real property tax being paid the municipal government by the California Energy International (CalEnergy), the build-operate-transfer (BOT) proponent of the Casecnan Mulipurpose Irrigation and Power Project or the Casecnan Dam.

The American firm constructed the 26-km. underground trans-basin tunnel which diverted water from the Casecnan and Taang rivers in Nueva Viscaya to the Pantabangan Dam forming part of the CMIPP’s BOT component worth $600 million. The facility was completed in2001.

Also to be covered by the livelihood bonanza are families of 200 casual employees of the municipal government who have not been receiving their salaries for the last eight months but offered to stay on while waiting for the release of the funds.

Borja said that the 1,000 beneficiary families represent roughly one-fourth of the total number of families in the town of 4,000 families.

He said that the municipal government, while extending the livelihood aid, will strictly monitor the progress of the livelihood venture entered by every beneficiary family through a monitoring team created for that purpose. Aside from providing cash, the municipal government will provide inputs such as fertilizers, pesticides, certified and hybrid seeds and other forms of technical assistance to ensure good harvest.

October 8, 2008
Manila Bulletin

Farm irrigators in Nueva Ecija thank Arroyo
By Magtanggol C. Vilar

CABANATUAN CITY – An umbrella organization of Novo Ecijano farmer irrigators comprising 17 groups thanked the administration of President Arroyo for its continuing support for the agricultural programs in the province.

Coursed through Nueva Ecija Gov. Aurlio M. Umali and Engineer Antonio Nangel, National Irrigation Administrtion-Upper Pampanga River Integrated Irrigation Service (NIA_UPRIIS) operations manager, the message of thenks by the Dreamland Irrigators Association Inc. was in the form of a manifesto of support for President Arroyo and Agriculture Secretary Arthur Yap.

The irrigators said that with the continuing support of the Arroyo administration, Nueva Ecija has maintained its position as a top producer of food.

The irrigators credited the Arroyo administration for the construction in Nueva Ecija of additional irrigation facilities such as the Casecnan and Aulo dams, which have improved the palay production capability of this province, dubbed as “the rice granary of the Philippines.”

In 2007, Nueva Ecija produced 1,231,176 metric tons of rice.

Also, farmers groups in the province were recipient of several flat-bed dryers.

Mrs. Arroyo distributed in Nueva Ecija last Sept. 2, on the occasion of the 112th Unang Sigaw ng Nueva Ecija, a total of P1.2 billion in loans and subsidies to the members of 48 farm cooperatives.

October 7, 2008
Manila Bulletin

Casecnan irrigation project to benefit 8,800 NE farmers
Bay Magtanggol C. Vilar

SCIENCE CITY OF MUÑOZ, Nueva Ecija – The implementation of the irrigation component of the giant Casecnan Multi-Purpose Irrigation and Power Project (CMIPP) is right on track for its scheduled completion by December, this year.

National Irrigation Administration Casecnan Project Manager Alex Coloma said Phase I of the irrigation component of the P6.7-billuion CMIPP project is already 97 percent complete.

Coloma reported that P2.4-billion irrigation projects under Phase I have been completed and are ready for inauguration in December.

He said the newly completed complexes arethe P608-million rehabilitated Peñaranda River Irrigation System (PENRIS) under contract package S1 and the P1.7-billion new irrigation areas under contract packages S2 and S3.

The Casecnan irrigation network covers 16,879 hectares of farms in 67 barangays in the Muñoz, and the towns of Guimba and Talugtog in Nueva Ecija, and Victoria in Tarlac. A total of 8,839 farmers will be benefited by the irrigation facilities.

October 6, 2008
Malaya

Nueva Ecija mayor faces investigation for illegal logging
By Jojo de Guzman

CABANATUAN CITY – Nueva Ecija police will investigate reports on the involvement of Gen. Tinio’s mayor in illegal logging activities in the town, which is being blamed for last week’s flash floods that affected Gapan City and three towns, displacing more than a thousand residents.

The suspicion was triggered by felled logs and processed lumber which were washed down from Gen. Tinio’s mountains by floodwaters.

Senior Supt. Ricardo Marquez, Nueva Ecija police director, said he has directed his intelligence officer to look into the possible involvement of Gen. Tinio Mayor Virgilio Bote in illegal logging.

The flash floods, which followed heavy rains brought by typhoon Pablo, buried houses in Gen. Tinio, San Leonardo, Gabaldon and Gapan City and forced the evacuation of residents in barangays Pias, Rio Chico, Poblacion East and Poblacion Centro in Gen Tinio; barangays Catellano and Nieves in San Leonardo; barangays Tagumpay and Bagong Sikat in Gabaldon, and barangay San Vicente, San Nicolas, Pambuasn, Sto. Niño and San Lorenzo, all in Gapan last Thursday.

Gapan Mayor Ernesto Natividad said that the flash floods were a clear indication that illegal logging persists in Gen. Tinio, a known logging hotbed. He said Gov. Aurelio Umali, who distributed relief goods to the affected families, vowed to conduct an investigation into the cause of the flash floods.

Bote, a former three-term mayor who reclaimed his post in last year’s elections, is a close ally of Umali’s.

In 2004, flash floods reportedly caused by illegal logging in Gen. Tinio buried communities in southern Nueva Ecija and downed a bridge in Cabiao town.

14 villages in N. Ecija city, 3 towns flooded


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October 3, 2008
Philippine Daily Inquirer
By Anselmo Roque

CABANATUAN CITY – Floodwaters yesterday submerged at least 14 villages in three towns and one city in Nueva Ecija, prompting hundreds of families to seek safe grounds.

Flooded were the villages of Pambuan, San Vicente, Sto Niño, San Nicolas and Bukana in Gapan City; Castellano and Nieves in San Leonardo; Poblacion East and Rio Chico in General Tinio; and three other villages in Gabaldon town.

Antonio Nangel, operations manager of the Upper Pampanga River Integrated Irrigation System (UPRIIS), said the water came from Peñaranda and Pampanga rivers, which overflowed due to continous rains since Wednesday.

He said the Pantabangan Dam was still 10 meters from spilling level.

Water level in a portion of the Maharlika Highway between San Leonardo and Gapan City was neck-deep or about five feet, according to Supt. Marlon Bingcang, Gapan City police chief, Traffic was rerouted to Jaen and San Isidro towns.

Arnel Tecson, barangay chair of San Vicente in Gapan, said rescue workers were trying to reach 10 people perched on rooftops on Thursday morning.

Gapan Mayor Ernesto Natividad was leading the rescue efforts and evacuation of affected families starting at 2 a.m. yesterday, Tecson said.

In General Tinio, 50 families were evacuated to the town’s gymnasium and other government buildings, according to a police report.

Gov. Aurelio Umali said the Provincial Disaster Coordinating Council had mobilized teams to help rescue efforts and assist families in evacuation centers.

October 3, 2008
Manila Bulletin

Antonino Bridge opened in Nueva Ecija

CABANATUAN CITY – Pursuing his avowed program for the delivery of the basic social services to his constituents. Nueva Ecija Rep. Rodolfo W. Antonio (4th district) led recently the historical inauguration of the Gaudencio E. Antonino Bridge, formerly Cabiao Bridge, in Barangay Langla, Jaen, Nueva Ecija. president Arroyo was the special guest at the event that coincided with the celebration of the congressman’s 57th birthday. The Cabiao bridge had been under constructions. Now, through the effort of Congressman Antonino and support of the Arroyo administration, the dream of Jaen residents has finally come true. The Gaudencio E. Antonino Bridge is in honor of the late Senator and statesman Gaudencio Antonino, the congressman’s father, whose legacy of dedicated public service is being carried out by his son.

The bridge, which connects places and people, brings to reality the dream of the late senator to close the gap between the center and the periphery of Nueva Ecija. after the unveiling, Antonino, two-time outstanding congressman awardee for 2006 and 2007 and President Arroyo also led the awarding of TESDA sholarship certificates, checks for micro-financing to SEA-K, and Philhealth cards.

September 28, 2008
The Daily Tribune
Joson urges probe into political killings

Alarmed by the latest accounts of political killings and violence, a lawmaker has filed a resolution directing the House committee on peace and order to investigate the state of political violence in the country.

Rep. Eduardo Nonato Joson (Nueva Ecija) said the Philippines ranks second in the world in the number of political killings with more than 800 reported incidents since 2001.
“The political killings have reached an alarming proportion, extending not only just to partisan players but also to innocent bystanders and civilians, “ he said.

Joson said House Resolution 791 ensures the prevention, investigation, prosecution, and punishment of political violence, as well as care and protection of people and communities victimized and threatened with violence.

He cited the bombing incident at the Batasan Complex in 2007, which resulted in several fatalities and seriously injured House members and employees. PNA

September 27, 2008
People’s JOURNAL
P2.3B irrigation projects for Casecnan dam done
Steve A. Gosuico

SCIENCE CITY of Muñoz, Nueva Ecija – Irrigation projects worth P2.3 billion under Phase 1 of the P6.7-bilion component of the giant Casecnan Multipurpose Irrigation and Power Project have been completed, the National Irrigation Administration here said yesterday.

Alexander G. Coloma, NIA-Casecnan project manager, said the newly completed projects are the P608-million rehabilitated Peñaranda River Irrigation System under Contract Package U2 and P1.7 billion in new irrigation areas under contract packages S2 and S3.

Coloma said they are optimistic that the entire Phase 1 of the irrigation component of the CMIPP will be completed on schedule by December. Phase 2 of the irrigation component is set to start in 2009.

Phase 1 of the irrigation component, which started in January 1998 and is now 97-percent complete, involves construction of a 29-kilometer super diversion canal, repair and rehabilitation of existing dams and enlargement of major canals.

Coloma reported to NIA Administrator Carlos Salazar that the PENRIS dam is now operational and looks as good as new with strengthened/improved structures, new electric-driven gates, replacing old and deteriorated dam structures and worn-out, defective gates.

He said the newly rehabilitated dam will irrigate 19,924.20 hectares of agricultural land in 63 barangays in Gapan City and the municipalities of San Isidro, Cabiao and this town, San Miguel and Ildefonso in Bulacan and Candaba, Pampanga.

The newly developed irrigation areas cover 16,879 hectares of farmlands in 67 barangays in this city and the Nueva Ecija towns of Guimba and Talugtog and Victotia, Tarlac.

September 25, 2008
People’s JOURNAL
Governor linked to agri scam
By Joel dela Torre

A GROUP of farmers yesterday asked the Department of Agriculture to investigate Nueva Ecija Gov. Aurelio Umali for his alleged involvement in a multi-million-peso agricultural scam.

Sid Villaflor, leader of the farmers, said Umali should be probed for selecting a farmers’group as beneficiaries of a livelihood and irrigation project even if its members are not from the province.

Villaflor said that the Samahan ng mga Manininda ng Prutas sa Gabi, Inc. has been nemed beneficiary of the project.

The farmers claimed that the governor had allegedly entered into an agreement with the SMPGI for a P3-million livelihood and irrigation project.

The project reportedly involved the purchase of water pumps priced at P120,000 each although its market price was only P40,000 each.

The group also asked the Senate to investigate the alleged scam as million of pesos that were diverted from the Priority Development Assistance Fund of Nueva Ecija were used to finance bogus projects.

Earlier, graft charges were filed before the Office of the Ombudsman against Umali for allegedly favoring bogus farmers’ groups as beneficiaries of agricultural projects even if such groups are not registered with the Securities and Exchange Commission.

The case stemmed from an agreement that Umali allegedly entered into with the Masaganang Ani Para sa Magsasaka Foundation, Inc. that authorized the latter to pinpoint the beneficiaries of the agricultural project.

The governor allegedly caused the release of P12 million from the PDAF to by 7,920 bottles of liquid fertilizer for the farmers ot the towns of Gabaldon and General Natividad in Nueva Ecija.

The complainants claimed that the fertilizers were overpriced at P1,500 each as the prevailing market price for each bottle ranged from P100 to P200 only.