SQ Gains 5% at the Opening Bell after Signing Contract for 2 Hongsa Mining Projects

SQ gained 5% at Monday’s opening bell following the announcement of the signing of the Hongsa Mining Project Agreement.

As of 11:50 local time in Thailand, the share price of Sahakol Equipment Public Company Limited (SQ) rose ฿0.06/share or 2.44% to ฿2.52/share, with a trading value of 35 million baht.         

SQ announced in reference to a notification to the Stock Exchange of Thailand on 25 May 2021 and 21 June 2021 that the company received the letter of Award from Hongsa Power Company Limited for the North Pit Wall Expansion Project and the Build, Lease and Transfer (BLT) Project. 

On October 15, 2021, the company signed two contracts for the aforementioned projects with Hongsa Power Company Limited.

Contract 1: North Pit Wall Expansion, for excavation and transportation of waste to dumping area as designated by the Employer, the amount of a service fee approximately 837 million baht, work period in 5 years (starts approximately from May 2022 to April 2027).

Contract 2: Build, Lease and Transfer (BLT), for conveyor belt system construction, the amount of a service fee approximately 2,245 million baht, work period in 13 years, consisting of: 1. construction period (starts approximately from October 2021 to March 2024) and 2. 10 years lease income period (starts approximately from April 2024 to March 2034).