Gulf Development, a publicly listed telecom operator and Thailand’s largest market-value energy firm, has acquired full ownership of the Pak Lay hydropower project in Laos for US$128 million. The move aims to enhance its renewable energy portfolio and generate additional revenue by supplying electricity to Thailand.
Previously, Gulf held a 40% stake in Pak Lay Power Co, a joint venture, with the remaining 60% funded by Sinohydro (Hong Kong) Holding Co. The company’s decision to purchase Sinohydro’s shares will give Gulf complete control of the project, which will supply power to the Electricity Generating Authority of Thailand under a 29-year power purchase agreement, according to Gulf’s CFO Yupapin Wangviwat.
The Pak Lay hydropower plant, with a planned capacity of 770 megawatts, is set to begin commercial operations in 2032. Situated on the Mekong River in Pak Lay district of Xayaburi province, the run-of-the-river facility harnesses natural water flow without creating a large reservoir.
While the development cost has not been disclosed, the project is part of Gulf’s 90-billion-baht investment plan for 2025-2029. Up to 80% of this budget will support renewable energy initiatives, with the remaining funds allocated to gas-fired power plant projects, gas businesses, digital ventures, and infrastructure development.
Yupapin Wangviwat emphasized that investing in Pak Lay aligns with Gulf’s strategy to increase renewable energy generation and reduce greenhouse gas emissions. The company aims to achieve net-zero emissions by 2050 by balancing emissions with absorption efforts.