MANILA, Philippines - Crown Asia Chemicals Corp., a maker of premium PVC compounds and Crown PVC Pipes, has inked supply agreements with several power firms.
It bagged a supply deal from Citicore Power Inc. Under the deal, Crown Asia Chemicals will provide pipes to Citicore’s 25-megawatt solar power plant, which will sit on a 40-hectare land in Bgy. Rizal, Silay City in Negros Occidental.
The facility is targeted to provide around 4,000 homes with electricity.
Crown Asia Chemicals will also supply the P2 billion power plant of Next Generation Power Technology Corp. with high-density polyethylene pipes. The 20 megawatt power facility is located on a 37.5-hectare lot at the Freeport Area of Bataan.
Both projects will use Crown HDPE pipes for the underground installation of electrical lines.
Apart from this, Crown Asia Chemicals is providing PVC pipes to Miescor, a subsidiary of Meralco in Digos, Davao, for its solar power plant.
Crown Asia Chemicals commenced operations at its new P110 million PPR/HDPE plant last August. These so-called PPR (Polypropylene Random) pipes are used for hot and cold applications while HDPE pipes are used for industrial applications that demand higher pressure rates.
Funding for the plant came from the proceeds of its initial public offering on April 27.
“The new PPR/HDPE pipe products are expected to synergize with our current Crown PVC offerings and provide customers with wider options while expanding our market sector applications,” said Walter Villanueva, chairman of the board and head of the company’s Pipe Group.
With the new PPR and HDPE product lines, the company is able to tap projects such as subdivisions, industrial facilities, and power plants.
Aside from manufacturing PPR and HDPE pipes, Crown Asia Chemicals is the first pipe company in the Philippines to manufacture a complete line of PPR fittings.
In the third quarter of the year, the company reported a net profit of P70.5 million, exceeding the P65.38 million earnings for the whole of 2014. Sales revenues grew by 28.42 percent.