Thailand’s Ratchaburi Electricity Generating Holding is investing Bt2.35bn in the Nam Ngum 2 hydroelectric power project in Laos. The project is expected to boost Ratchaburi Electricity’s production capacity by 153MW to nearly 4,500MW.
Ratchaburi Holding has agreed to buy a 25% stake in Southeast Asia Energy (SEAN), a subsidiary of Ch Karnchang and the operator of the project. SEAN has registered capital of Bt400mn and Bt175mn in paid-up capital.
On November 3, Ratchaburi paid Bt43.75mn, or 25% of the total paid-up capital for the stake.
SEAN expects to increase its registered capital to Bt9.4 billion baht with the investment paid up based on the funding requirements of the project by the shareholders in proportion to their holdings.
Other major shareholders in the project include Ch. Karnchang with a 28.5% stake, the Lao government with a 25% stake, Bangkok Expressway (12.5%), PT Construction & Irrigation (4%), Shlapak Development Company (4%) and Team Consulting Engineering and Maintenance (1%).
The Nam Ngum 2 hydroelectric power plant, located 35km north of the Nam Ngum 1 project, has total capacity of 615MW.
The project, which has a 25-year power purchase agreement with the Electricity Generating Authority of Thailand (Egat), is expected to begin supplying electricity power to Thailand in September 2010.
Aside from the investment in the Nam Ngum 2 project, Ratchaburi has invested in three other plants: 3,645 MW thermal and combined-cycle power plant in Ratchaburi province, a 350 MW combined-cycle plant in partnership with Tri Energy, and a 350MW combined-cycle plant of Ratchaburi Power.