YTL Power Turbine Reservations Could Strengthen Power Project Prospects

Dow Jones
Sep 17

0143 GMT - YTL Power International's reservation of four additional Siemens Energy gas turbines gives it an advantage in bidding for new gas-fired projects, amid tight global supply and lead times exceeding five years, TA Securities analyst Hafriz Hezry says in a note. YTL Power and Ganda Power have now reserved seven SGT-9000HL units, supporting potential projects in Malaysia and the region with combined capacity of about 5.25GW. If fully deployed, the capacity could add an estimated 450 million ringgit-500 million ringgit to annual profit, he reckons. The projects could also add about 6.7 billion ringgit to equity value, which isn't reflected in current valuation, he adds. TA Securities maintains its buy rating on YTL Power International, keeps target price at 6.53 ringgit. Shares are 5.3% higher at 5.80 ringgit.

 

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