Thai Company Joins Energy Project

Manila Bulletin
November 10, 2011, 11:31pm


MANILA, Philippines — Siam Cement Group (SCG) has invested 24 percent in Green Alternative Technology Specialist Inc. (GATSI), which is engaged in the manufacture of refuse-derived fuel (RDF) in Rizal province.


In a statement, SCG said it invested 220 million Thai baht, equivalent to $7.33 million the project, which has a production capacity of 28,000 tons a year of RDF. The facility is scheduled for completion in early 2012.


“SCG seeks to fulfill the vision of becoming an ASEAN sustainable business leader by 2015, and the group continues to expand business across ASEAN countries, especially in strategic countries, namely, Vietnam, the Philippines and Indonesia,” said Kan Trakulhoon, president and CEO of SCG.


In addition to this, SCG Trading Philippines, Inc. received the ISO 9001:2008 from Societe Generale de Surveillance (SGS), for its outstanding quality management for its products and services.


SCG has also implemented “SCG eco value” in the Philippines, its own eco-label that has been created to provide consumers their choice of environment-friendly products and services, in accordance with ISO 14021:1999 or the Environmental Labels and Declarations — Self-declared environmental claims (Type II environmental labeling). United Pulp and Paper Co., Inc. in SCG Paper’s testliner boards have been certified by the Green Choice Eco-Labeling Program of the Philippine Center for Environmental Protection and Sustainable Development, Inc. for taking a leadership role in the area of environmental concern.


Proof of SCG’s robust business in the ASEAN region is its operating results for the third quarter of 2011.


Trakulhoon also disclosed the consolidated financial statements of SCG for the third quarter of fiscal year 2011, which showed revenue from sales of $3.143 billion, an increase of 19% year-on-year. The profit for the given period registered $245.9 million, up 13% year-on-year, partly from divestment gains in SCG chemicals.


On a quarter-on-quarter basis, in the third quarter of 2011, revenue from sales was relatively flat, while the profit for the period decreased 2% as a result of higher energy prices affecting SCG Cement and lower dividends from SCG Investment.


For the first nine months of 2011, SCG recorded revenue from sales of $9.355 billion, an increase of 25% year-on-year, primarily from higher sales volumes in all business units. The profit for the given period increased 16% year-on-year to $802.6 million, boosted primarily by growths in SCG Cement and SCG Chemicals.


In terms of SCG’s business in the ASEAN market outside Thailand, the revenue from sales in the first nine months of the year amounted to $595.13 million, a 14% increase from the same period of last year, which accounts 6% of the total sales of SCG. The total assets of SCG in the ASEAN region as of September 30, 2011 amounted to $1.467 billion, which is 12% of total assets of the Group.


SCG has also efficiently responded to the flood situation in Thailand, ensuring that it is causing no significant impact to the Group’s businesses, as manufacturing of core businesses continues to operate.


In line with its commitment to social responsibility, SCG plans to help serve the needs of the flood victims by accelerating its building materials manufacturing activities to serve needs after the flood, providing Home Repair Clinics as consultancy for flood victims, and offering special discounts for building materials products, especially in flood-hit areas, among other initiatives.