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First Philippine Holdings Inc. (FPH.PH) said Thursday it is reviewing its options on BG Group PLC's (BG.LN) plan to sell a 40% stake in the two power plants it operates in partnership with the Philippine firm.

BG Group plans to sell its stake in the two Philippine natural gas-fired power plants for $400 million to Korea Electric Co. (KEP) as part of the U.K. company's divestment of power generation assets to focus on developing large oil discoveries in Brazil. First Holdings and its power generation unit, First Gen Corp. (FGEN.PH), hold 60% of those power plants.

"The right of first refusal on the 40% stake is just one of the possible options we are currently reviewing," First Holdings Chief Financial Officer Giles Puno told Dow Jones Newswires. The right effectively allows First Holdings to match Korea Electric's offer for the 40% stake.

Puno refused to discussed the other options regarding the 1,000-megawatt Santa Rita power plant and the 500-megawatt San Lorenzo facility, both of which provide electricity to the Philippine capital. The plans were commissioned in 2000 and 2002, respectively, with a combined construction cost of around $1.4 billion.

-By Cris Larano, Dow Jones Newswires; 632-848-5051; cris.larano@dowjones.com