Email This Print This 
Question : How long does the construction period of CBG 20 Projects and when the company will start on revenue recognition for each project?
Answer : In 2014, the projects are expected to be completed around 5-6 projects and recognized on revenue when the projects is completed. Currently, Board of Directors has approved two investment projects.
  1. 1st Project : at Mae Tang District, Chiang Mai Province (Mae Tang 2) which is a project designed and EPC by joint venture company between UAC Energy Co.,Ltd and SEBIGAS S.p.A. The project is expected to be completed in September, 2014.
  2. 2 nd Project : at Phu Pha Man District, Khon Kaen Province (Khon Kaen 1) which is a project running by the joint venture company, UAC & TPT Energy Co.,Ltd. ;

Even though, the company saw an opportunity to invest in energy sector, there are some constraints from the requirements and regulations of SEC in the part of the acquisition transaction from total investment compared to the net assets of the company. As a result, the investment in the project will be conducted in accordance with these regulations as well, so that the project investments may be delayed. However CBG 20 projects must be completed under the terms of the contract funded projects with Energy Policy and Planning Office (EPPO).

Moreover company still considered for human resource so that company decided to joint with partner, SECI Energia who is a group of company in Italy, to reduce risk of human resource. They are expertise in technical knowhow to process plant design and construction in Biogas field. Also the company can reduce risk of human resource side. In the part of funding, company will consider funding sources base on the utmost benefit of shareholder.

Question : How about breakeven of CBG’s projects and margin for each project?
Answer : For the feasibility study, CGB project has breakeven for 4-5 year each, IRR not less than 15% as a condition of the bank.

Question : In the situation of exchange rate fluctuation, how was company doing the risk management?
Answer : In the situation of financial market have relatively high volatility, The Company will make forward contract to cover all risks however company has no policy to speculate on exchange rate.

Question : Does the company have a plan to expand PPP project?
Answer : It could be expanded more because Thailand has more oil wells being drilled. However, the Company is being study the feasibility and will consider return on PPP1 before expansion. PPP1 is expected the revenue recognition on Q3/2013

Question : Does the company have a plan to invest more in any energy projects?
Answer : Company is continuing to invest in energy sector projects by emphasis on renewable and alternative energy sector. The result of a study on the feasibility will be proposed to the Board of Director to approve the investment. The company will declare the resolution to the shareholders and investors.

Question : Does the company have a plan to invest in Solar Roof Project?
Answer : The Company is studying on the feasibility of Solar Roof Project because SECI Energia Group, our partner, has one business sector in Solar Roof, with approximately production capacity of 150 MW, and SECI Energia is interesting in Solar Roof Project Investment in Thailand. However, the feasibility study may not be finished as scheduled set by the Ministry of Energy.

Question : Can chicken excrement be used in the Biogas production process?
Answer : From the result of studying and testing, chicken excrement can be used as raw material but it contains a lot of chaff which composes of silica that will easily cause the machine erosion. Thus, The company has to find out the solution before using chicken excrement as raw material in Biogas production process.

Question : How much are the utilization rate and CBG amount generated from CBG Mae Tang 1 Plant?
Answer : CBG Mae Tang 1 Plant has been designed with the capacity of 6 tons per day. Nowadays, it utilizes only 50%. However, according to the Sale and Purchase Contract with PTT, the CBG plant has to supply 3 tons per day for the first 2 years.

Question : Besides CBG Plants, does the company have any plan to invest in Biogas for electricity or join with Electricity Company to do such investment?
Answer : Our CBG Plants can be designed to generate electricity as well. The Company will consider for demand and suitability in each area before investing. Moreover, the returns and prices between CBG and electricity will be considered too. At present, the government has a policy to increase CNG price and the demand of energy will increase significantly in the future, investment in CBG will get the higher returns in the long run.

Question : How about the investment in Water Project in Myanmar?
Answer : Hydrotek PLC., an expert in water treatment system, is the one who initiated the Water Project in Myanmar. It’s under the study of feasibility of joint venture with the local partner. If it’s feasible, the Water Project will be invested by UAC Hydrotek Co., Ltd., our subsidiary company.

Question : What is the progress of Power Plant project in Prachuap Khiri Khan province?
Answer : At present, the Power Plant project is in the bidding process for EPC, Construction Cost and Production Capacity of the plant. If finished, expected to be within Q4/2013, the project will be proposed to the Board of Directors to approve the investment, then the company will declare the resolution to the shareholders and investors.