Energy Development Corporation

38th Floor, One Corporate Centre Building, Julia Vargas corner Meralco Avenue

Ortigas Center, Pasig 1605, Philippines

Trunklines: +63 (2) 667-7332 (PLDT) / +63 (2) 755-2332 (Globe)


June 9, 2014

JANET A. ENCARNACION

HEAD, Disclosures Department
The Philippine Stock Exchange, Inc. Philippine Stock Exchange Plaza
Ayala Triangle, Ayala Avenue, Makati City
Dear Ms. Encarnacion:

We write in compliance with the PSE's request for clarification as regard the news article entitled "Apo geothermal draws nine interested parties" posted in BusinessWorld Online on June 9, 2014. The article reported in part that:

"NINE investor groups have formally expressed interest in the September auction for the Mt. Apo geothermal power plants, the Power Sector Assets and Liabilities Management Corp. (PSALM) said over the weekend.
'The selection and appointment of the independent power producer administrator (IPPA) for the output of the Mindanao I and II (Mt. Apo 1 and 2) Geothermal Power Plants has drawn the interest of nine investor groups,' PSALM President and Chief Executive Officer Emmanuel R. Ledesma, Jr. said in a statement.
These firms have been identified as: EDC Mindanao Geothermal Inc.; FDC Misamis Power Corp.; GDF SUEZ Energy Philippines, Inc.; Good Friends Hydro Resources Corp.; SMC Global Power Holdings Corp.; SPC Power Corp.; Therma Southern Mindanao, Inc.; Trans-Asia Oil and Energy Development Corp.; and Vivant Geo Power Corp.
Mr. Ledesma made the announcement following the closing of the deadline for fulfilling initial bid requirements.
. . . ."
Further to our May 27, 2014 clarification, we reiterate that EDC shall participate in the selection and appointment of the independent power producer administrator (IPPA) for Mindanao I and II Geothermal Power Plants' output. Since the process is to be led by Power Sector Assets and Laibility Management Corporation (PSALM), we cannot comment on the transaction details mentioned in the article.

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