October 15, 2008

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)

September 29, 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 news article entitled "EDC sets Negros geothermal expansion" posted in Malaya Business Insight (Internet Edition) on September 29, 2014. The article reported in part that:

"Energy Development Corp. (EDC), the renewable energy arm of Lopez-led First Gen Power Corp. is set to expand its Southern Negros geothermal plants, just months after it started the operation of the latest expansion in the Valencia, Negros Oriental site.
The announcement comes on the heels of a pronouncement from Energy Secretary Carlos Jericho Petilla that Visayas would be supplying electricity to Luzon in time for the projected power crisis in the area by summer next year.

. . .

Richard Tantoco, EDC president, said a study is being done to put up another 20-megawatt (MW) geothermal power plant in EDC's Nasulo geothermal plant, with a timetable to start drilling within one and a half years.
'It will be about a year to finalize the plans. When I say to finalize the plan, it's probably we'll start drilling,' he added"

We confirm the above statements as true and accurate.

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