IHI Asia Pacific Thailand Co Ltd wants to maintain its strong presence in Thailand by diversifying into other energy-related businesses after demand for gas turbines, one of its products, subsides as government support dwindles.
Hiroshi Horiguchi, IHI's managing director for Asia-Pacific, said the company has already provided construction and installation for a new liquefied natural gas (LNG) receiving terminal for PTT Plc, the national oil and gas firm, in Map Ta Phut. It has a capacity of 10 million tonnes.
PTT is planning to develop another LNG receiving terminal in Nong Fab in Rayong province to meet rising demand, though major gas reserves in the Gulf of Thailand are depleted. Thailand is likely to import a lot of LNG in the coming years to service increasing demand, particularly via PTT.
"We hope to be awarded the contract for PTT's terminal in Nong Fab, but we know there will be competition from firms in Italy, Taiwan and South Korea," Mr Horiguchi said. PTT is expected to open bidding for the construction of its new LNG receiving terminal soon, with commercial operation slated for 2023.
Japan-based IHI Corporation, an industry and energy conglomerate, was established in 1853 and started its presence in Thailand in the 1990s. It has delivered 31 units of gas turbines to Thai power plants with a combined power-generating capacity of 1,580 megawatts, making up 35% of the market share of gas turbines sold, second only to Siemens.
The company also provides high-tech engineering machines, including tunnel-boring machines for the construction of the MRT subway here as well as for water drainage tunnels in Bangkok. The sales of such machines totalled 497 billion baht in 2016.
IHI Asia Pacific Thailand also operates a production factory for turbochargers for major car assemblers in Thailand. It exports to other foreign car makers around the world.
Mr Horiguchi said the company would remain a major player in the gas turbine business in Thailand by providing maintenance and after-sales services.
This year PTT is expected to import nearly 5 million tonnes of LNG.
