The Nation May 17, 2012 1:00 am
Universal Adsorbents & Chemicals expects to generate annual revenue of about Bt50 million from its compressed biomethane gas (CBG) project, which will start supplying biogas to PTT in the middle of the year.
President and CEO Kitti Jivacate yesterday said UAC would likely see the plant, which will purify biogas from dung and wastewater from the Mongkol and Sons pig farm in Chiang Mai, ready to start supplying biogas to the energy conglomerate by the end of July.
The biomethane from the droppings can be turned into natural gas for vehicles.
The CBG plant will have a |production capacity of 6 to 8 tonnes per day, or about 3,000 tonnes per year.
With a 15-year supply contract with PTT, UAC expects to realise sales of about Bt50 million annually from the project, starting from the third quarter of this year.
The company also plans to invest about Bt600 million in a petrochemical plant in Sukhothai, he said. The facility is expected to commence operations within the first quarter of next year and earn Bt300 million in annual revenue.
The plant will produce liquefied petroleum gas, compressed natural gas and natural gas liquid.
Sales of the new plant’s output are currently under negotiation with a leading domestic energy company, Kitti said.
UAC is also considering setting up a branch office in Myanmar. It is carefully studying the regulations, laws and taxes in the neighbouring country, and a clearer picture of the plan should emerge late this year, he added.
With the planned investment, UAC expects to generate annual revenue of about Bt2 billion within the next three years.
Revenue this year is forecast to reach Bt1 billion, 85 per cent of which is expected to come from its core business of chemical-product trading, and the rest from joint ventures.
In the first quarter, the company recorded a net profit of Bt37.47 million, up 4.53 per cent from the same period a year earlier.
Sixty-seven per cent came from the trading of chemical products, and the remainder from joint ventures in alternative energy and BBF (business biofuel).