PDI moves full-scale ahead with its trading business

Mr. Francis Vanbellen, Managing Director of Padaeng Industry Public Company Limited (PDI) stated – at the occasion of PDI Metals’ Customer Day September 8, 2017 – that the company proceeds with a comprehensive zinc trading business, including warehousing located in industrial centers for convenient distribution of goods. This service marketed under the name “PDI Metals” will be supported by a variety of transport approaches meeting specific demands of small and large customers. Our imported zinc originates from internationally-accepted suppliers. Our products are 100% checked before being dispatched, aiming to assure confidence amongst PDI customers. As our Zinc supply is ever-ready for delivery, this will reducing clients costs for redundant zinc stocks.

PDI – with over 33 years of expertise and experience in the zinc business – will continue to provide technical services including the promotion of knowledge to develop zinc galvanizing and zinc die-casting operators in Thailand.

“In 2017, PDI has imported high-quality zinc, while sales and technical services have been closely monitored. As a result, PDI has accumulated extensive positive feedback from its customers”.

“In 2017, we will import 25,000 tons of zinc in total. We also still have significant own zinc stock remaining to distribute. In 2018, PDI will import approximately 50,000 tons or 100% of its zinc, and will add other products such as zinc alloys and other metals, to meet the needs of customers” Mr. Vanbellen said.

PDI Metals also expanded its contemporary communication channels by launching a website and Facebook page for PDI Metals, in addition to its existing LINE account. Customer Day activities are organized regularly to enforce customers engagement.

PDI boosts energy business by 30MW Solar Farms acquisition in Thailand

PDI announced its successful completion of the purchase of 6 operating solar farms in Thailand with a total capacity of 30MW.The projects were developed and constructed by Symbior Solar with investment from Armstrong Asset Management and the Mekong Brahmaputra Clean Development Fund. August 31st, 2017, the Company signed a share purchase agreement, acquiring 100% of the shares in Symbior Elements Pte., Ltd. for a total value of THB 1.3 billion. After the successful acquisition of the plants, PDI will operate solar farms in Asia with a total capacity of 50MW.

Padaeng Industry Public Company Limited (PDI) successfully expanded PDI Energy by winning a bid to acquire 6 operating solar farms in Thailand with a total capacity of 30MW. The share purchase agreement was signed August 31st, 2017 at PDI’s head office. PDI Energy, by Ton Sangkasi Pte.,Ltd., a subsidiary of PDI incorporated in Singapore, will hold 100% of Symbior Elements (Singapore) which operates the Thai based 30MW solar farms.

The acquisition of these solar farms, with a total value of THB1.3 billion, was fully financed through PDI’s own available cash, generated during the ceasing of its historical Zinc operations. PDI carefully considered this investment during the past months and evaluated and mitigated all risks. The Company’s Board of Directors is convinced that this significant acquisition contributes largely to the Company’s growth strategy in green business and will balance future risks revenues over different sustainable businesses.

The acquisition will generate immediate revenues, from the 6 solar farms holding 25-Year Power Purchase Agreements (PPA) with the Provincial Electricity Authority. The first solar farm started COD already in June 2013. 4 more started in December 2015, whilst the last one started in April 2016. PDI’s energy team plans to further continuously improve operational performance, similar to the previous acquisition of PDI Mae Ramat Solar in December 2016.

Including the Japan operational and under construction plants, PDI Energy will hold 50MW solar farms in Asia. The acquired solar farms include two 8MW plants and one 3MW plant located in Prachinburi, a 6MW and a 4MW solar farm located in Samut Sakhon and a 1MW solar farm located in Khon Kaen.

PDI first half 2017 consolidated net profit grows to 523MB, significantly exceeding 131MB in H1 2016

Padaeng Industry Public Company Limited, or PDI, announces its performance for the first half of 2017, ending June 30, generating 2,888 MB from sales and services, up 15% from 2,510MB from the same period last year.

PDI’s consolidated net profit increases to a historical high of 523MB, with 392MB year-on-year from 131MB.

These excellent results are supported by higher LME prices and local premiums in the Thai market. The average LME zinc price during HY1 2017 increased 50% to 2,690 USD/t from 1,796 USD/t during HY1 2016. Other favorable impacts came from the sales of a joint venture investment in Maesod Clean Energy Co., Ltd. of 59 MB, and the sales income of 50MB from the divestment of Padaeng Industry (Laos) Co., Ltd., the Company’s subsidiary.

More specifically for Q2 2017, the Company’s net profit reached 211MB compared to a net profit of 101MB in Q2 2016. For the full year of 2016 PDI reported a strong performance, with total revenues of 5,341 MB and a net profit of 478 MB, the highest in the past five years.

With the good performance in this first half year, the continued consistent high Zinc prices and local Thai market premiums and the good performance of the Solar Farms, PDI’s outlook for 2017 remains outstanding.

PDI continues to make significant progress in the realization of its make-over strategy, especially in energy investments. The construction of our second Japan solar farm of 10.57MW in Japan is progressing smoothly with confirmed expected commissioning in the 3rd Quarter of 2017. The PDI Mae Ramat Solar Farm of 6.5MW in Tak province operates well above targets and contributes to the Company’s results. Other renewable energy targets in South East Asia and beyond are continuously explored.

PDI and Canadian Solar sign MOU to develop 200MW Solar PV projects in Asia Pacific ​

PDI and Canadian Solar join forces by signing an MOU to collaborate on the development in Solar PV projects in Asia Pacific; targeting 200 MW installed capacity within 3 years.

On 16 May 2017, at the head offices of Padaeng Industry PLC or PDI, Mr. Francis Vanbellen, Managing Director and Dr. Shawn Qu, President & Chief Executive Officer of Canadian Solar Inc. (CSIQ) co-signed a memorandum of understanding to establish an alliance between both companies aiming to search and develop opportunities for at least 200 MW Solar PV projects throughout the Asia Pacific region within the next three years. The initial markets to be considered are Thailand, Philippines, Malaysia, Lao PDR and Indonesia. Other potential countries will be added during the process.

Mr. Francis Vanbellen, Managing Director of PDI, said “Under this MOU, PDI and CSIQ will mutually consider investment opportunities and will become partners in growing renewable energy business. CSIQ is a global producer of solar cells, with a brand new production plant in Thailand, Chonburi. They are recognized as one of the world’s leading developers of solar PV panels. This cooperation is in line with PDI’s energy business strategy which focuses on solar energy, with plans to invest in solar farms both in Thailand and overseas”.

PDI performs strong in the first quarter of 2017, with net profit 313MB

Padaeng Industry Plc (PDI) enjoyed favorable financial results in the first quarter of 2017, with net profits of Baht 313 million, largely exceeding Baht 30 million in Q1 2016, strongly supported by favorable global zinc prices and local Thai metal premiums.

Mr. Francis Vanbellen, Managing Director of Padaeng Industry Public Company Limited, or PDI, disclosed that during the first quarter of 2017, ending March 31st, the Company generated Baht 1,517 million from sales and services, up 25% from Baht 1,217 million from the same period last year . Its net profit stood at Baht 313 million, increasing Baht 282 million year-on-year from Baht 30 million.

Contributing to the sharp rise in its revenue and net profit in the first quarter of 2017, global zinc prices surged significantly to US$2,781 per ton on average, up 66% from US$1,676 per ton in the same quarter last year. Moreover, the Company realized Baht 59 million from the sales of its 35% stakes in Mae Sot Clean Energy Co., Ltd. and revenues from the energy business at Mae Ramat Solar Farm in Tak province.

Mr. Vanbellen added that if global zinc prices rise further to the range of US$2,800-2,900 per ton this year, it will benefit PDI’s zinc business and profits may reach a new record high this year.

“This year, PDI has a starting inventory of low-cost zinc ore of more than 30,000 tons from its mine in Tak’s Mae Sot district, from which we will certainly reap benefits due to the surging zinc prices. The Company will also generate additional revenues from its solar farm operations, which include its first solar farm in Japan with a capacity of 2.27 megawatt and the 6.30 megawatt Mae Ramat Solar Farm in Tak. Meanwhile, the Company’s second solar farm in Japan is being built with a capacity of 10.73 megawatt and is due to begin commercial operations in the second half of this year.” he said.

For Eco management and Recycling Material business, projects are under technical development and permits application process. PDI remains actively looking for projects with acceptable risks and substantial returns, in South East Asia and beyond, targeting area’s such as Energy, Eco and Materials. Other M&A targets, when encouraging, will also be considered.

PDI shareholders approve dividend payment of 1 Baht/share

PDI will move forward with its plans to build business operations in high value added materials from recycling and industrial waste management. The company aims to further expand its solar farm operations both in Thailand and overseas, with a target generating capacity of 150 MW within three to five years.

Mr. Francis Vanbellen, Managing Director of Padaeng Industry Public Company Limited (PDI), said the 2017 annual general shareholders meeting passed a resolution to pay dividends to shareholders of 1 Baht per share, for a total of 226 million Baht. PDI will pay to shareholders whose names appear on the list on May 3, 2017, in accordance with Section 225 of the Securities Act, and the shareholder registration will be closed on May 4. The dividend payment will be executed on May 18.

In the material business, the PDI-CRT project in Rayong will provide value-added materials from recycling complex industrial wastes. The production facility is in the basic design process, which is due to finish by the second half of this year. After that, the factory will be constructed and is due to start commercial operations in 2019. The PDI-CRT venture received full support from the Department of Industrial Works in 2016.

For the business plan this year, PDI will continue to invest in its three new businesses including energy, materials and eco management. The energy business has made progress as the Company has plans to invest in solar farms both in Thailand and abroad. The company aims to build total generation capacity of 150 MW within a three-year period.

Meanwhile, the eco management business has an ongoing project, PDI Tak Eco, which is a joint venture between PDI and Dowa Eco System. This project is seeking a license to operate a fully integrated industrial waste management facility in Tak province. The waste treatment capacity will be 50,000 tons per year serving the northern and central regions in Thailand. The project will use the feedback from the communication sessions with the local communities to fine-tune its scope. This waste management project received support from the Department of Industrial Works as it is in full accordance with the country’s strategy on waste management.

Besides energy, materials and eco, PDI remains diligent to identify any other attractive M&A targets, generating good returns with controllable risks, leveraged by the capabilities of the company.

PDI invests in Renewable Energy Acquiring Mae Ramat Solar Farm in Tak

Mr. Francis Vanbellen, Managing Director of PDI (Padaeng Industry Public Company Limited) revealed the acquisition of the Mae Ramat Solar Farm in Tak, with an installed capacity of 6.3 MW, for a total value of 477 million Baht. The acquisition marks another successful step in the deployment of PDI’s renewable energy business after the completion of its first operational Solar Farm in Japan in October this year.

December 20th, 2016, PDI Energy – a 100% PDI subsidiary – signed a share purchase agreement with International Engineering Public Company Limited, acquiring 99.99% of shares in IEC Mae Ramat Co., Ltd. (IECMR). The Mae Ramat Solar Farm operates and sells electricity to the PEA (Provincial Electricity Authority) since December 26th, 2013 under a 25year-PPA scheme. IECMR is located at Tambol Kanecheu, Amphur Mae Ramat, Tak province.

As from 2017 the revenues and profits will be consolidated in the PDI Results. The positive cash flow generated with this investment will be used to reinvest in other sustainable business projects in the PDI group.

Mr. Vanbellen added that PDI will continue to expand its renewable energy business both in Thailand and abroad. The solar farm projects in Japan progress as expected. The farm in Nanao (capacity 2.27 MW) started in October, actually operates 10% above target. The second solar farm in Nogata (capacity 10.5 MW) is under construction to go life in Q2 2017.

PDI’s Flagship Solar Farm Project in Japan

Padaeng Industry Public Company Limited proudly announces the completion of Nanao, PDI Asia Solar first investment in Japan. The investment marks substantial progress for PDI in its makeover to sustainable green business. The Nanao solar farm with 2.27 megawatts achieved its commercial operation Early October, 2016. A second investment, in the Nogata solar farm with 10.5 megawatts, started construction and schedules commercial operation in the second quarter of 2017. The solar farm projects in Japan mark significant milestones for PDI in reaching its sustainable green business goals as targeted.

People in scene from left:

  1. Francis Vanbellen, Managing Director of PDI
  2. Zenji Yamada – The Local Village Chief

PDI received the CSR-DPIM Awards 2015

Padaeng Industry Public Company Limited (PDI) represented by Mrs. Nirada Sutthiwaree, Manager – Communication, received the CSR-DPIM Continuous Award 2015 for accomplishment in social responsibility networking from the Department of Primary Industries and Mines (DPIM) from Mr. Chat Hongtiamchant, Director – General of DPIM on May 17, 2016.

PDI and DOWA to invest in integrated industrial waste management ​

PDI and DOWA, Japan’s leading industrial waste management business, signed an agreement to jointly invest in PDI Tak Eco Co., Ltd., an integrated industrial waste management project in the Tak Province, PDI will own 51% and DOWA 49%. Today (April 26, 2016, at PDI – Bangkok), Padaeng Industry Public Company Limited (PDI) and DOWA Eco-System Co., Ltd., (a subsidiary of DOWA Holdings Co., Ltd.) signed a Shareholders Agreement (SHA) and Share Purchase Agreement (SPA) to acquire 49% share of PDI Tak Eco Co., Ltd., a wholly-owned subsidiary of PDI. Mr. Arsa Sarasin, Chairman and Mr. Francis Vanbellen, Managing Director of PDI, chaired the signing ceremony; joined by Mr. Kenichi Sasaki, President of DOWA Eco System Co., Ltd. The agreement will enable PDI to invest in integrated industrial waste management in Tak Province, at an initial capital of Baht 10 million. Mr. Vanbellen, said, “With highly-efficient management and safety standards guaranteed by DOWA’s technology and expertise in the field, the project will be able to handle at least 50,000 ton-per-year of industrial waste generated in the Northern and Western regions of Thailand. A major key success factor is the projects site location included in the target locations of the five-year industrial waste management strategic plan (2015-2019) of the Ministry of Industry. In addition, PDI recently signed the Memorandum of Understanding (MOU) with the Department of Industrial Works (DIW) to support the feasibility study of this project. Operations are expected to go life by the end of 2018, with the EHIA permitting process being the critical path on the timeline. General Information Dowa Eco-system Co., Ltd., a subsidiary of DOWA HOLDING Co., Ltd. has started its operations in waste management and recycling business in Southeast Asia since 2009. DOWA Eco-System is now the top-level industrial waste management company with operations in Indonesia, Singapore, Myanmar and Thailand. In Thailand, DOWA Eco-System operates a waste final disposal, incineration and heat recycling facilities in the southern, eastern and central regions of the country. Padaeng Industry Public Company Limited, or PDI, was founded April 10th, 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 around three businesses: PDI Energy – providing energy from renewable resources; PDI Materials – providing added value materials from recycling; and PDI Eco – providing raw materials from waste and eco management of waste.