Global Power Synergy Plc (GPSC), the power generation arm of national oil and gas conglomerate PTT Plc, is planning to add new investment projects to its green energy portfolio by selling all shares worth around 1.1 billion baht in Ichinoseki Solar Power 1 GK (ISP1) in Japan.
The divestment of shares will enable the company to allocate money for further investment in accordance with its strategy, which aims to increase electricity generation capacity through energy sources that are friendly to the environment, said Worawat Pitayasiri, president and chief executive of GPSC.
The company reported to the Stock Exchange of Thailand yesterday on the share purchase deal with CES Iwate Taiyoko Hatsudensho GK.
The transaction is scheduled to be finalised within the first quarter.
The share sale is part of GPSC's asset management to support the company's future investment projects, said Mr Worawat.
The move came after GPSC recognised profit gained from its investment in ISP1.
Commencing operation in 2017, ISP1 supplies electricity to Tohoku Electric Power Co, with a feed-in tariff of ¥40 per kilowatt-hour under a 20-year power purchase agreement.
In another development, GPSC awarded a 4-billion-baht engineering, procurement and construction contract to Singapore-based Jurong Engineering for the construction of two units of gas-fired power plants, each with a generating capacity of 48 megawatts.
The facilities, to be developed by its subsidiary Glow SPP 2 Co under the small power producer scheme, are scheduled to replace retired power generation units.
The site is located near its power plants in Map Ta Phut Industrial Estate in the eastern province of Rayong. The new facilities are expected to start commercial operation in the first half of 2024.
Mr Worawat said GPSC already signed an agreement to sell 60MW of electricity to the Electricity Generating Authority of Thailand for 25 years. The remaining 36MW and 230 tonnes of steam per hour from the power generation process are expected to be sold to industrial clients in the Map Ta Phut area.