Ratchaburi Invests stake in Operator of Laos Project

Ratchaburi Electricity Generating Holding Plc is investing 2.35 billion baht in the Nam Ngum 2 hydroelectric power project in Laos.

The project is expected to boost Ratchaburi Electricity's production capacity by 153 megawatts to nearly 4,500 MW.

Ratchaburi Holding agreed to buy a 25% stake in Southeast Asia Energy Ltd (SEAN), a subsidiary of Ch. Karnchang Plc and the operator of the project. SEAN has registered capital of 400 million baht and 175 million baht in paid-up capital.

On Nov 3, Ratchaburi paid 43.75 million baht, or 25% of the total paid-up capital for the stake.

SEAN expects to increase its registered capital to 9.4 billion baht with the investment paid up based on the funding requirements of the project by the shareholders in proportion to their holdings.

Other major shareholders in the project include Ch. Karnchang with a 28.5% stake, the Laotian government with a 25% stake, Bangkok Expressway Plc (12.5%), P.T. Construction & Irrigation (4%), Shlapak Development Company (4%) and Team Consulting Engineering and Maintenance (1%).

(Bangkok Post, Nov. 7, 2005)