GPSC expanding business domestically and internationally to begin a new chapter in the history of energy and public utility industry in Thailand and the global market

Global Power Synergy Public Company Limited or GPSC is a leading medium-sized electricity, steam, and public utility supplier whose business is strong despite the slow economy. The company is not greatly affected by the stock market’s volatility as its business focuses on basic utility and its main clients are government and industrial organizations who are stable. Additionally, it has long-term contracts with most of its clients, which means the company enjoys steady revenue. In the first quarter of 2015, GPSC’s net profit grew significantly, and the company’s target was achieved. Its net profit increased by 444.6%, jumping from 98 million baht in 2014 to 531 million baht in 2015. Meanwhile, its revenue grew by 30.04%, from 4.978 billion baht in 2014 to 6.473 billion baht this year. The growth is partially due to the company’s short-term strategy, which is investing in operating businesses and those which are under construction. Once every project is completed, it is expected that the company’s revenue and net profit will grow significantly. Its long-term goal is to invest in major projects and other related projects to build a solid foundation for further growth and expansion.

GPSC president Noppadol Pinsupa said, “GPSC is committed to becoming the leader of the energy industry in Asia and to strengthen the energy and utility industry in Thailand. We have raised funds to invest in more businesses both in Thailand and overseas. The funds will also be used as working capital for GPSC for short-term and long-term projects. Our Corporate Planning Department is finding opportunities for joint ventures and new developments. Since we entered the stock market on May 18, 2015, we’ve embarked on four projects namely 1) CUP4, located in Asia Industrial Estate, Rayong. It is a co-generation power plant, using natural gas as a source of power. It provides not only electrical power but also steam and demineralized water which can be used in factories. Its power generation capacity is 392MW, while its steam generation capacity is 70 tonnes per hour. It can supply sufficient electricity and steam to factories in Asia Industrial Estate and neighboring industrial estates. The investment is valued at 3.67 billion baht. It has obtained EIA approval. 2) A gas-fired power plant with Marubeni

Corporation and EDEN Group in Thanlyin. The 400MW power plant will support Myanmar’s energy stability in Yangon, which has witnessed a sharp increase in electricity demands. The company has signed the MOU with representatives from Myanmar and it has been granted the exclusive permission to conduct the feasibility study. 3) Ichinoseki solar power plant 1GK in Japan. The company holds 99% of the shares at this 20.8 MW power plant, as approved by Japan’s Ministry of Economy, Trade and Industry (METI) 4) A coal-fired power plant project in Myeik Township with a capacity of approximately 2,000 MW. The electricity generated from the project is intended for supply to both Thailand and Myanmar, which will improve system stability and strengthen economic developments between the two countries in accordance with the government’s policy. In addition, Ministry of Electric Power of Myanmar has assigned the Consortium to conduct a feasibility study of the transmission line project from Prachuap Kiri Khan Province of Thailand to supply upto 100 MW to Myeik Township and nearby areas to address the near-term local demand in electricity while the implementation of the coal-fired power plant is not yet completed in order to spur the local economic development and border trade between two countries.

“Our employees and executives have worked hard to develop our organization and to plan projects continuously. I am confident that the company can achieve its short-term goal, which is to increase our electricity generation capacity in accordance with our shares, which is to increase by 600-1,000 MW by 2019. The company has established four key policies for its growth. 1) Growth along with PTT Group, in order to build consistency in power and public utility for the production process of the companies under the PTT Group. 2) Quick win, meaning to grow faster through short-term projects or acquisitions, in order for the company to quickly increase its electricity generation capacity. The company has plans to develop power plants and invest in BIC to build its second cogeneration power plant project, and invest in renewable energy plants such as solar energy, wind power, biogas, and biomass, which take a short time to construct. Additionally, the company has merger and acquisition plants for power plants in Thailand and overseas, both ones that are in business and ones under construction. 3) Big win, or grow by investing in large power plants in Thailand and neighboring countries, so that the company can increase its electricity production capacity in the long run. The company has plans to develop and invest in power plants in Thailand and

 

neighboring countries such as Myanmar, Laos, Cambodia, and Indonesia. 4) Adjacent and Support Opportunities, or to invest in relevant businesses, in addition to electricity business. GPSC has plans to expand its business in other relevant fields such as energy storage system and battery. GPSC has joined 24M, whose core business is to research and develop Lithium-Ion battery. GPSC is also looking at Energy Service Company (ESCO) who offers total solutions for energy conservation and maximized energy utilization services by investing in the development of power distribution network, focusing on overseas markets where the power distribution network has insufficient coverage. The network development will help increase the need for electricity, and increase the investment opportunities in the local power plants. The company always tries to find new business opportunities to expand its business and generate growth,” said Noppadol.

Back15 June 2015