BCPG to invest in cross-border transmission line system project in Laos, aiming for selling electricity from Laos to Vietnam
Niwat Adirek, BCPG’s President and Acting CEO, disclosed that the Company’s Board of Directors meeting on November 23, 2021, approved BCPG Indochina Company Limited, a wholly-owned subsidiary of the Company, to acquire 25% common shares of Nam Tai Power Sole Co. Ltd (Nam Tai), a limited liability company registered in Laos, from Phongsubthavy Group Sole Co., Ltd in the total amount of not exceeding 32 million US dollars (THB 1,070 million). BCPG has already entered a Share Purchase Agreement to acquire the common shares of Nam Tai since December 31, 2021.
The acquisition in Nam Tai allows BCPG to obtain 50% of Economic Right to develop and operate the 220kV transmission line system and substation, which will transfer green electricity from Nam Tai hydropower project in Laos to Vietnam Electricity (EVN) at the border of Laos and Vietnam.
“The investment in Nam Tai is a good opportunity for BCPG to expand into electric power transmission and substation business. The transmission line system is also an essential infrastructure for BCPG’s hydropower projects in Laos, Nam San 3A, and Nam San 3B, including nearby renewable energy projects in the future, to sell electricity from Laos to EVN. The cross-border transmission line system project will serve not only high demand of electricity in Vietnam as the country is growing fast, but also strengthen economic robustness of BCPG’s renewable energy projects in the long run”, said Niwat.