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WHAUP keen on water in Vietnam, Thailand
SET-listed WHA Utilities and Power (WHAUP) is optimistic about its water business for industrial estates in Thailand and Vietnam thanks new expansion and investment flows in both countries.
Wisate Chungwatana, chief executive of WHAUP, said water sales and services to industrial operators are expected to grow by 23% to 130 million cubic metres per year.
At home, WHAUP provides water services for 750 clients at nine industrial estates in Chon Buri and Rayong.
All industrial estates are operated by WHA Industrial Development (WHA ID).
Mr Wisate said WHA ID has another five industrial estates queued up for future development.
“We offer various services: demineralised water, tap water and waste water management,” he said.
“For example, WHAUP recently signed a 15-year purchase agreement contract with two listed companies: Global Power Synergy and PTT Global Chemical.”
In 2018, WHAUP became Thailand’s largest capacity provider of industrial water at 105 million cu m.
In Vietnam, WHAUP recently spent 2.76 billion baht to acquire a 34% stake of Duong River Surface Waterplant Joint Stocks (SDWTP).
This transaction is through WHAUP’s wholly owned subsidiary WHAUP (SG) 2DR, which is investing in the utility business in Hanoi.
Mr Wisate said SDWTP has a capacity of 54.75 million cu m per year and plans to increase it to 109.5 million cu m per year.
The new capacity is expected for commercial operation by 2019.
In addition, WHAUP invested in Cua Lo Water Supply Joint Stock Co, a water supplier in Nghe An province, earlier this year, with a current capacity of 4.745 million cu m per year.
Mr Wisate said WHAUP’s water business has made up roughly 50% of its total revenue. The other half goes to its power generation segment.
In 2019, WHAUP earmarked 2.2 billion baht to expand its power and water utilities.
Half of the budget has been allocated to develop solar rooftops, with power generation capacity of 25 megawatts, expected to be Thailand’s highest capacity for solar rooftops.
WHAUP plans to expand total power generation to 570MW by 2019 from 520MW in 2018. Its power resources are gas and renewable energy.
The solar rooftop projects are for WHA ID’s industrial operators.
Mr Wisate said WHAUP plans to expand and develop solar rooftop projects in the eastern provinces that reach 400MW in the near future.
Its parent company, SET-listed WHA Corporation, reported total revenue in the first half of 6.88 billion baht, up by 26% year-on-year. Net profit rose by 35% to 1.46 billion baht.
Source: https://www.bangkokpost.com/business/1733235/whaup-keen-on-water-in-vietnam-thailand