GULF-WHAUP Begins Natural Gas Distribution to PTT for 10-Year Revenue Recognition
Under the project named NGD2, GULF and WHAUP have begun distributing 2,000,000 mmbtu/year natural gas to PTT and its client in the industrial area.
WHA Utilities and Power Public Company Limited (WHAUP) and Gulf Energy Development Public Company Limited (GULF), have announced that its indirect joint venture company, WHA Eastern Seaboard NGD2 Company Limited (NGD2) had started the commercial operation for its customer in WHA Eastern Seaboard Industrial Estate 2 on December 1, 2018.
NGD2 is a joint venture company that WHAUP and GULF indirectly hold 35% of shares each through Gulf WHA MT Natural Gas Distribution Co., Ltd. (Gulf WHA MT). The goal of NGD is to operate of Natural Gas Distribution (NGD) for customers in the industrial estate, and those located in WHA Eastern Seaboard Industrial Estate 2, Sriracha district, Chonburi province with an approximately project cost of ฿198 million and installed capacity of 2,000,000 mmbtu/year.
NGD2 obtained all key permits, including the Gas Retail License through Natural Gas Distribution System and the Natural Gas Transportation System License. It also entered into a gas sales agreement with PTT Public Company Limited (PTT) and industrial users for a term of 10 years, with the option to renew every 10 years.
The second NGD project is currently under construction and expected to start the commercial operation on schedule in April 2019.
