EA and the Battery Factory

A week ago, there was news of Energy Absolute Public Company Limited (EA) launching its first electric ferry, MINE Smart Ferry, and a while back the company just unveiled the  electric vehicles and buses…interestingly, what would be the next steps of EA…?, as the firm originally operated in Biodiesel business, then expanded its business unit to power business.

But don’t forget that EA has also invested in the battery factory…or EA may fully penetrate the electric vehicles (EV) market…?   

EA introduced the electric ferry in effort to provide transportation services along the Chao Phraya River and will begin operations with the Sathorn – Pathum Thani route. EA expects to launch 8 – 12 electric river cruisers in the second half of this year (2020) and a further 23 – 27 ferries will be delivered in 2021.   

Regarding the electric vehicle sector, EA is set to deliver EVs to the taxi union, who signed MOU to reserve 3,500 EVs. EA as well plans to start electric bus production in 2021. 

Curiously…all of said vehicles are driven by battery, then it means that battery is something very necessary for the system…and EA also invests in the battery factory. What a perfect business strategy.

At the end, the sales of electric vehicles such as bus, car and ferry will increase the valuation to EA battey factory, aligning lower cost and higher margin. 

For the upcoming year investment budget of 17,217 million baht, EA will invest 5,000 million baht in Lithium-ion Battery Project, 5,000 million baht in Land Development Project, 3,000 million baht in Electric Vehicle and Electric Bus Project, 1,000 million in Electric Ferry Project and 3,000 million baht in future projects.

It’s pretty clear that EA lays its high hopes on the battery factory and EVs business. If this new direction of EA succeeds, the firm would gain enormous profit. 

Let’s keep an eye on EA’s next step!