THL in renewables
Tongkah Harbour Plc (THL) has entered the renewable energy business in Thailand and abroad with a Bt5 billion investment for a total capacity of 100 megawatts within five years, in an effort to generate extra earnings.
Wichit Chiamwichitkun, chief executive officer at THL- a mining company and property developer, said the new business will boost its income with stable growth, adding that the Bt5 billion investment will be financed by overseas funds, particularly from Germany and China.
THL currently has three power projects in hand with a combined capacity of 16 megawatts, including solar farms and a project to turn community garbage for use in power generation.
The company will hold a 60 per cent stake in the first 5-megawatt solar farm projct, a joint venture with a cooperative in Chumphon province . It will hold a 80-90 per cent stake in the other 5-megawatt solar farm, a joint venture with a cooperative in Phang Nga province.
Both projects will need an investment of about Bt225 million each with construction completion and commercial operation expected in the third quarter of next year.
The third 6-megawatt project will involve using community garbage to produce electricity with a planned investment of Bt1.4 to Bt1.8 billion. Construction is expected to start in the first quarter of next year with commercial operation scheduled for the fourth quarter of 2019.
"We are studying several more projects in the country and overseas, particularly CLMV (Cambodia, Laos, Myanmar and Vietnam)," Wichit said, adding that final negotiations will take place next year on two solar farms with a combined electricity capacity of 60 megawatts in Vietnam as well as two solar farms in Laos and Myanmar.
THL targets Bt1 billion in consolidated income within 2019, about 70 per cent of which will come from mining, 20 per cent from renewable energy and 10 per cent from property development.
