National oil and gas conglomerate PTT Plc is preparing to make its debut in the electric vehicle (EV) assembly industry in the third quarter after the launch of battery businesses last year.
The company is currently in talks with partners on a business model and production facility location, said PTT chief executive and president Auttapol Rerkpiboon, declining to name the partners.
PTT plans to assemble various types of EVs, including motorcycles, sedans, buses and trucks.
Mr Auttapol said the company is making a mock-up model of an electric motorcycle and expects to unveil it to the public by the end of this year.
Funds to develop the new business will be allocated from PTT's budget reserve worth 300 billion baht planned between 2021 and 2025. It is a separate budget from the company's capital spending worth 851 billion baht.
The new EV business, to be run by PTT's wholly owned On-I On Solutions Co, will strengthen its position in an EV business supply chain.
On-I On Solutions was established in February to develop and operate a network of EV charging infrastructure in locations other than gas stations. Locations include malls, hotels and offices.
On-I On Solutions also offers EV-related products and services to install EV chargers for households.
PTT entered the EV industry in December last year by launching G-Cell, Thailand's first semi-solid battery cell, to be produced by its 1.1-billion-baht manufacturing plant.
The 30-megawatt hour battery is designed for EVs and home use.
The production facility is located on 12 rai of land in Map Ta Phut Industrial Estate in Rayong's Muang Rayong district. It is scheduled to operate in the second quarter this year.
In February, Global Power Synergy Plc (GPSC), PTT's power generation arm, and PTT Oil Retail Business Plc jointly unveiled G-Box, a 150 kilowatt hour battery energy storage system to work in tandem with EV charging outlets at PTT stations in Bangkok's Nong Khaem district.
Their cooperation is done under a pilot project to ensure EV power supply stability.
GPSC also acquired a 11.1% stake in China's Anhui Axxiva New Energy Technology Co (AXXIVA), a battery manufacturer.
This acquisition will pave the way for GPSC to have the second battery production plant. Its first factory in Rayong is currently under construction.
The move is also part of the expansion of businesses under PTT Group, according to Mr Auttapol.
These businesses, which are expected to grow rapidly, include renewable energy development, life science-based businesses and artificial intelligence and robotic technology.
PTT estimates its new businesses will make up 20% of its total revenue in 2030.