On September 27, Taiwan Cement Corporation (TCC) convened a board of directors meeting, during which three major investment projects of renewable energy were approved, totaling an amount up to NT$22.3 billion ($801 million). Specifically, TCC will spend NT$5.5 billion ($197.5 million) on installing large storage systems in its Su'ao Plant (Yilan) and Hoping Plant (Hualien). By outsourcing the construction of such systems on a rented land, TCC will also invest NT$12 billion ($431 million) in building plants at Linhai Industrial Park in Siaogang District, Kaohsiung and purchasing production line equipment, plus a waste management project involving the use of cement kilns at the company’s Hoping Plant.
For the first renewable energy investment project, TCC’s board of directors approved an energy investment to establish a large storage system at the Hoping Industrial Park in Hualien, demonstrating the company’s active engagement in product transactions within the Ancillary Service Market available on Taipower’s Energy Trading Platform. This multi-phase program comprises the establishment of a 100MW/250MWh storage system with an estimated amount of NT$4 billion ($143.6 million).
Additionally, TCC intends to build a 35MW/87.5MWh large storage system in its Su’ao Plant in several phases, the cost of which approximates NT$1.5 billion ($53.8 million). The two investments (i.e., establishment of storage systems in the Hoping Industrial Park and Su’ao Plant) total a cost of NT$5.5 billion. After the construction is completed, the two storage systems will together have the highest capacity in Taiwan.
Regarding the second investment project, the board of directors of TCC—on behalf of its subsidiary Molie Quantum Energy Corporation—announced a resolution to approve a NT$12 billion investment program. The program, which was approved in March this year, comprises the outsourcing construction of plants on leased land at Linhai Industrial Park and purchases of production line equipment. Specifically, Taiwan’s first super battery factory will be built in Siaogang, specializing in producing advanced NCM batteries featuring high capacity and high charge/discharge power.
As for the third investment, TCC proposed a waste management plan involving the use of cement kilns at its Hoping Plant, which was approved at an EIA conference last year. The project, comprising outsourced expansion of a resource recovery center, has kicked off recently. TCC’s board of directors approved an outsourcing plan worth NT$4.789 billion ($172 million). This investment project is expected to help resolve the waste crisis in Hualien.
To satisfy fund demand for renewable energy investments, TCC plans to issue foreign currency convertible bonds with a total issue amount of $800 million and term to maturity of 5 years (tentative). The raised funds will be applied to investments in foreign subsidiaries, foreign subsidiary loan repayment as well as renewable energy and energy storage projects. With the said investment projects, TCC aims to transform into a sustainable business.
(Source of first image: TCC)