WHAUP extends commercialisation of water sales, introduces demineralised water
WHA Water Co Ltd, a subsidiary of WHA Utilities and Power Plc or WHAUP, has signed a 15-year contract for demineralised water sales with Global Power Synergy Plc (GPSC), whose initial orders will stand at 1.5 million cubic metres per year.
Under the agreement, commercial services will start from October 18. The supply of demineralized water is the company’s latest product, reflecting its strong determination to be a total solution provider in the utilities business, WHAUP’s chief executive officer Wisate Chungwatana said on Monday.
This is due to the continuous increase in water demand by both existing and new clients in WHA’s Industrial Estates, he said, adding that the company’s water business in Vietnam was slated to gradually commence operations in the third quarter of this year.
Earlier this year, the company signed a sales contract for clarified water with GCOxyrane Co Ltd (GCO), a manufacturer and distributor of propylene-oxide, which has a water demand of around 3.6 million cubic meters per year. It has also entered into a contract with GC Polyols Co Ltd (GCP), a manufacturer and distributor of polyetherpolyols, which has a water demand about 300,000 cubic meters per year. It is expected the two clients will start using water in their productions in December. All three new clients are located in the WHA Eastern Industrial Estate (Map Ta Phut).
The WHAUP chief executive added that for overseas investment in utilities, especially in Vietnam, the company has already been granted a license to operate utilities business in WHA Industrial Zone 1 – Nghe An. The project will be operated by subsidiary WHAUP Nghe An Joint Stock Company, which is currently under development and expected to start commercialization in Q3 this year.
In addition, the company has invested in Cua Lo Water Supply Joint Stock Company (Cua Lo), a distributor of tap water in Nghe An, which currently has a production capacity of 3,000 cubic metres per day and is expanding that capacity to 13,000 cubic metres per day. This is in accordance with company’s policy to expand overseas, especially in the CLMV (Cambodia, Laos, Myanmar, and Vietnam).
The overall outlook of the utilities business for WHAUP in 2019 is positive, with growth as planned. Apart from providing services to three new clients, the company is in talks with other new potential clients and existing clients who are in need of water.
