PTT Public Company Limited (PTT) is an integrated oil and gas company that entirely involved in the exploration, production, refinement, and distribution of petroleum and gas, however, for a sustainable growth for a business, PTT has stepped forward to new business trend, a medical related business such as pharmaceutical business, nutrition, and medical equipment – supplies.
Also, its affiliated company PTT Exploration and Production Public Company Limited (PTTEP), an original upstream oil and gas producer, has grown the business activities in favor of an integrated upstream – midstream business. PTTEP budgeted about US$2,000 million or approx. ฿60,000 million to invest in developing a gas-fired power plant “Gas to Power Project” with a 600-megawatt installed capacity in Myanmar.
When parents and siblings move forward, you shall follow, same as PTT Global Chemical Public Company Limited (PTTGC). The midstream integrated petrochemical company also expanded its business to cover the downstream sector.
Recently, PTTGC announced the investment plan for this year, targeting more downstream mergers and acquisitions (M&A) such as plastic pellets factories or high performance products.
Stepping into downstream of PTTGC is interesting as 1) it will increase more investment opportunities and 2) for risk management, it could boost the company’s margin. PTTGC normally sells products as wholesale which caused the product price to be quite cheap, leading to a low margin. Moreover, PTTGC could not control the price as it depends on the market cycle.
PTTGC has been trying to eliminate its weakness, therefore the company penetrated other industries such as automotive components, electricity and power, and construction.
It is a remarkable step of PTTGC.
Moreover, amid the pandemic, there are tons of businesses facing economic crises that are waiting for someone to save their company, so it is the right time for PTTGC to shop a bargain staff.