We, The Chugoku Electric Power Co., Inc.(“Chugoku Electric”), are pleased to announce that we decided to participate in commercially operating natural gas-fired power generation business in Yangon district in Myanmar with Shikoku Electric Power CO., Inc.(“Shikoku Electric”). We signed share purchase agreement through our wholly owned subsidiary with a subsidiary of TTCL* on 15th May 2019.
This combined cycle power plant (Ahlone thermal power plant) is operating in Yangon, the largest commercial city in Myanmar, and contributes to stable power supply in the country and secures consistent revenue sources through a long-term Power Purchase Agreement with Electric Power Generation Enterprise (“EPGE”). This is our first participation in the power generation business in Myanmar.
As the domestic electric power business environment is becoming increasingly competitive, we have positioned our overseas business as one of our company’s growth areas. By utilizing the knowledge and experience of the electric power business that we have accumulated so far, we will continue to participate in new overseas projects and work to improve our profitability.
* TTCL Public Company Limited, a listed company on the Stock Exchange of Thailand