UPP

UPP: Entered US$46.4m agreement with MSP Tractors to acquire a 50MW gas generating power plant in Yangon, Myanmar, to supply electricity to the national grid. The project will be built by MSP Tractors and Myan Shwe Pyi Tractors Ltd on a build-operate-transfer basis for 30 years. UPP will participate in the survey, design, construction, operation, management and maintenance of the power plant. The PPA will be based on a take-or-pay basis with a guaranteed annual minimum off-take of 350m kWh. The Ministry of Electric Power of Myanmar will supply natural gas at no cost to UPP Power Myanmar throughout the 30-year term. The power plant project represents a good investment for the Company that will assure a steady stream of income for the Group in the long term and is in line with the Company’s strategy to pursue investments and opportunities in other industries with a focus on emerging markets in Southeast Asia.