PDI expects its 2017 performance will improve significantly from 2016

PDI projects to grow its solar farm business locally and abroad to target 150 megawatts over the next three years. The company also confirms to move forward with its high value-added materials projects from recycling and industrial waste management businesses in the coming years.

Mr. Francis Vanbellen, managing director of Padaeng Industry Plc (PDI), noted the company’s 2017 financial performance is expected to rise from 2016, which posted a net profit of 478 million baht, the highest in the past five years and surged 216% or 327 million baht from 151 million baht net profit in 2015.

 This year, PDI will realize important revenue increase from its 90% core zinc business as it has 30,000 tons of metal in inventory which is produced from its low-cost zinc ore mine in Mae Sot and will import another 30,000 tons of metal to serve rising demand from local customers. Meanwhile, 2017 global zinc prices are expected to remain high between 2,600 and 2,900 USD /ton. Further rising zinc prices, will benefit PDI’s performance this year.

 The company expects to generate the remaining 10% revenue from its first 2 megawatt capacity solar plant in Japan, which started commercial operation on Oct 3, 2016, and from its 6 megawatt capacity Mae Ramat Solar Farm in Tak province, which was acquired late 2016.

In addition, PDI will start booking additional revenues from two new solar power plants in Japan including its 10 megawatt capacity Nogata Solar Farm and its 2 megawatt capacity Ryoshiya Solar Farm, which are due to start commercial operation in the second and third quarter, respectively.

“In 2016, PDI will continue to make more investments in three new businesses including energy, materials and environmental management,” Mr. Vanbellen said.

 Currently, the company’s renewable energy business is progressing and it has plans to invest more in solar farm projects in Thailand and abroad with a combined total capacity reaching 150 megawatts over the next three years.

 For the materials business, the joint venture PDI-CRT in Rayong will produce high value-added materials made from recycled resources. The project is now under the process of basic design, due to be completed by the middle of this year. Construction will start subsequently. The project’s due date to commence commercial operation is expected early 2019.  This joint venture project received support from the Department of Industrial Works in 2016.

 In environmental management business, PDI has its ongoing PDI Tak Eco project, under a joint venture with Dowa Eco System Co. The project is now in the permission-seeking process to operate a fully integrated industrial waste management operation in Tak province with an annual capacity of 50,000 tons of industrial waste for North and Central Thailand. This industrial waste management project also received support from the Department of Industrial Works as it is in line with the country’s strategic policy in handling industrial waste.

 “PDI is confident that our projects in these three new businesses will be successful, which will mark the company’s new business chapter and build strength and sustainable growth over the long term,” Mr. Vanbellen said.

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General Information

Padaeng Industry Public Company Limited, or PDI, was founded April 10^th, 1981 and introduced at the Stock Exchange of Thailand with a registered capital of Baht 2,260 million. The Company has produced high quality zinc for over 30 years.  It has specialized in producing special high-grade zinc ingot and zinc alloys used in the galvanizing and die-casting industries.

In 2014, PDI reassessed its business structure in anticipation of a shift towards Green Business, with the objective to increase eco-efficiency and to foster sustainable growth. The company is structured in three business units: PDI Energy – providing energy mainly from renewable sources; PDI Materials – providing added value materials from recycled metals ; and PDI Eco – providing

waste management solutions for complex industrial waste.