C02655-2024

SECURITIES AND EXCHANGE COMMISSIONSEC FORM 17-C

CURRENT REPORT UNDER SECTION 17
OF THE SECURITIES REGULATION CODE
AND SRC RULE 17.2(c) THEREUNDER

1. Date of Report (Date of earliest event reported)
Apr 30, 2024
2. SEC Identification Number
0000091447
3. BIR Tax Identification No.
000-190-324-000
4. Exact name of issuer as specified in its charter
Semirara Mining and Power Corporation
5. Province, country or other jurisdiction of incorporation
Philippines
6. Industry Classification Code(SEC Use Only)
7. Address of principal office
2/F DMCI Plaza, 2281 Don Chino Roces Avenue, Makati City Postal Code 1231
8. Issuer's telephone number, including area code
632-88883000
9. Former name or former address, if changed since last report
-
10. Securities registered pursuant to Sections 8 and 12 of the SRC or Sections 4 and 8 of the RSA
Title of Each Class Number of Shares of Common Stock Outstanding and Amount of Debt Outstanding
Common 4,250,547,620
11. Indicate the item numbers reported herein
9

The Exchange does not warrant and holds no responsibility for the veracity of the facts and representations contained in all corporate disclosures, including financial reports. All data contained herein are prepared and submitted by the disclosing party to the Exchange, and are disseminated solely for purposes of information. Any questions on the data contained herein should be addressed directly to the Corporate Information Officer of the disclosing party.

Semirara Mining and Power CorporationSCC

PSE Disclosure Form 4-31 - Press Release References: SRC Rule 17 (SEC Form 17-C)
Section 4.4 of the Revised Disclosure Rules

Subject of the Disclosure

DMCI Holdings eyes quick CHP turnaround;
unveils recovery roadmap
Background/Description of the Disclosure

PRESS RELEASE
April 30, 2024 (Tuesday)


DMCI Holdings eyes quick CHP turnaround;
unveils recovery roadmap

Diversified engineering conglomerate DMCI Holdings, Inc. has unveiled its strategic plan to revitalize Cemex Holdings Philippines (CHP), its largest investment to date and its first acquisition in a decade.

CHP, the Philippines' fourth-largest cement manufacturer, reported losses of P1.0 billion in 2022 and P2.0 billion in 2023, primarily attributed to escalating costs and reduced sales volumes.

“We recognize CHP's operational and financial issues, but we are positive that we can turn it around by 2025 because of its ongoing capacity expansion and the clear synergies it brings to our group,” said DMCI Holdings chairman and president Isidro A. Consunji.

“While cement demand is currently soft, we expect it to rebound as our turnaround plan progresses, supported by the Build Better More program and the anticipated easing of interest rates next year,” he added.

Increase Volume

CHP is in the process of constructing a 1.5-million-ton integrated cement production line at its Solid Plant in Antipolo, Rizal.

This expansion will effectively double the company's cement production capacity in the Luzon region. It will also boost CHP's overall installed annual production capacity by 26% from 5.7 million tons to 7.2 million tons.

The new cement production line is scheduled to commence operations by September 2024.


Reduce Costs

DMCI Holdings anticipates power, fuel and other production supplies costs, which represent 73% of CHP’s cost of sales in 2023, to decrease due to normalizing market prices and the transition to a more affordable energy supplier, Semirara Mining and Power Corporation (SMPC).

Additionally, administrative and selling expenses, which accounted for 52% of prior-year operating expenses, are expected to decline from talent and business process onshoring initiatives, following the exit of CEMEX.

Group Synergies

SMPC expects a significant increase in its coal sales to CHP, estimating a 227% rise to 500,000 metric tons annually compared to 2024 levels.

In addition to coal, the integrated energy company can also supply CHP with 50MW of electricity and fly ash.

Based on historical consumption patterns, DMCI and DMCI Homes are estimated to source around 400,000 metric tons of cement from CHP.

This volume has the potential to expand further, subject to growth in DMCI's order book and a recovery in DMCI Homes' project launches.


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Disclaimer: This press release contains forward-looking statements, which are subject to risks and uncertainties that may cause actual performance to differ materially from expected results or projections as of the date of this news release. No assurance can be given that the results anticipated by SCC, or indicated by any such forward looking statements, will be achieved.
Other Relevant Information

In accordance with SEC Notice issued on March 17, 2020. Attached herewith is SEC 17-C for your reference.
Filed on behalf by:
Name John Sadullo
Designation Vice President - Legal and Corporate Secretary