SIPCO power plant

active

In the mid-1990s, Siam Power Generation Public Co. Ltd (SIPCO) was awarded a license, under the Small Power Producer (SPP) generation program by Electricity Generation Authority of Thailand (EGAT), to build, own and operate a 450MW gas-fired combined cycle power plant in the SSP Industrial Park in the Rayong Province, with the estimated cost of USD 223.875 million. However, the 1997 financial crisis delayed the implementation of the project. In 2005, M-Power TT Ltd, a joint venture between Melewar Industrial Group Bhd (75%) and Transturbo Engineering Sdn Bhd (25%), acquired a 55% stake in the SIPCO. In July 2008, SIPCO signed a multi-tranche facility to finance the construction, operation and maintenance of the power plant. In November 2008, Melewar Industrial Group Bhd acquired additional stake in SIPCO, bringing its total interest in the power project to 95.03%. The project was divided into two stages. The first phase would involve the construction of a 185MW combined cycle gas-fired power plant, which was expected to be in operation by 2009. SIPCO also submitted plans for the second phase of the plant to Thai authorities for the expansion of its production capacity by another 90MW at between USD 100 million (RM330 million) and USD 120 million. The plant is expected to generate some USD 100 million revenue for Melewar once completed.