Amata B Grimm to spend Bt70 billion
Amata B Grimm Power, a subsidiary of B Grimm Group and one of the first and largest of the small power producers in Thailand, plans to spend Bt70 billion on 13 new power plants as it expands its operations.
The company, which is looking at a number of financing options with a view to increasing its capital, currently has three power plants under operation, with a combined capacity of 363 megawatts.
Two are located in Amata Nakorn Industrial Estate in Chon Buri, and the other in Amata City Bien Hoa in Vietnam.
The output is distributed to the Electricity Generating Authority of Thailand’s (Egat) grid and is used by more than 200 clients across a number of industrial estates.
President Preeyanart Soontornvata said yesterday that 13 additional power plants would be constructed, each with a capacity of 120MW.
Each plant is expected to enter into a 25-year contract with Egat for the sale of about 90MW of electricity. The remaining power will be distributed to businesses located in the industrial estates in which they are sited.
Each of the plants is expected to cost more than Bt5 billion, with the total investment coming in at around Bt70 billion, he said.
Two plants will be located in Bang Kradee Industrial Estate in Pathum Thani province. Due to come on stream in 2015, they are currently receiving bids from contractors.
Five plants will be located in Amata Nakorn Industrial Estate in Chon Buri. Three are already under construction, with the remaining two set to commence construction soon. These plants will come on stream between November 2015 and June 2016.
Another plant, to be located in Hemaraj Industrial Estate in Chon Buri, is expected to distribute its power to the grid in November 2016.
The five remaining plants under the plan will be located in Amata City in Rayong. Two are under construction, with the other three scheduled to commence construction soon. These facilities will come on stream starting from June 2017, with the final plant scheduled to be ready by October 2018.
Preeyanart said 75 per cent of the required Bt70-billion investment would be from bank loans, and the rest from the company’s working capital.
Amata B Grimm Power may raise funds from the Infrastructure Fund, through an initial public offering in the stock market or by seeking private equity from major investors, he added.
The company has registered capital of Bt1 billion. It expects net profit this year to come in at Bt400 million, from revenue of Bt8.5 billion.
