Gulf Development Public Company Limited (SET: GULF) announced that its subsidiaries, fully owned through Gulf Renewable Energy Co., Ltd. (GRE), commenced commercial operations for two new solar power plants on December 1, 2025.
These projects have a combined contracted electricity generation capacity of 85.8 megawatts (MW) and a total installed capacity of 113.2 MW, with electricity now successfully supplied to the Electricity Generating Authority of Thailand (EGAT).
The projects are operated by Racha Solar Company Limited (RS), the operator of a solar farm with a contracted capacity of 37.8 megawatts (installed capacity of 49.8 megawatts), located in Mueang Buriram district, Buriram province, and Suriya Pat Company Limited (SYP), the operator of a solar farm project with a contracted capacity of 48.0 megawatts (installed capacity of 63.4 megawatts), located in Si Satchanalai district, Sukhothai province.
These new plants form part of GRE’s renewable energy initiative that was selected under the Energy Regulatory Commission’s Feed-in Tariff (FiT) scheme for 2022-2030. Projects under this program are scheduled to gradually achieve commercial operation dates (COD) across 2024-2030.
For 2024, five solar power projects with a total contracted capacity of 295 MW (installed capacity of 531.8 MW) have already achieved COD. Seven more solar projects, totaling 354.3 MW (installed capacity of 596.8 MW), are set to come online in 2025, with 123.6 MW (installed capacity of 163 MW) already operational and the remaining four to follow in December.
Outlook and Growth
GULF anticipates further growth in 2026, projecting a 15% increase in EBITDA compared to 2025, supported by the addition of 683 MW from new power plants. Growth is also expected from increased capacity payments at its Jackson Generation gas-fired plant in the United States.
For 2026, the company plans to bring another 623 MW of domestic renewable energy projects online, comprised of four solar farms (321 MW), two solar-plus-battery projects (302 MW, expected COD between September and December 2026), and a 10 MW waste-to-energy project in Chiang Mai (scheduled for COD in May 2026). Additionally, 50 MW of rooftop solar projects will gradually start operation, lifting total new COD for the year to 683 MW and bringing Gulf’s total power generation capacity to 17,203 MW. The M6 Bang Pa-in–Nakhon Ratchasima Motorway is also expected to open in 3Q26.
The U.S.-based Jackson Generation plant is projected to bolster earnings, with greater capacity payments thanks to rising electricity demand from data centers. Profit contribution from this plant is estimated at THB 1.2 billion in 2026. The LNG business plans to import 70 shipments, approximately 4–5 million tons, boosting profit and efficiency through LNG optimization strategies. This business unit is expected to contribute an additional THB 1.2–1.5 billion in profit.
The company also expects ongoing profit contributions and dividends from Advanced Info Service Public Co., Ltd. (SET: ADVANC), driven by expanding its 5G subscriber base and increasing ARPU, as well as progress on its digital projects, including the construction of a new 38 MW GSA02 project anticipated to launch in 1Q27.
Investment Plans and Financial Strategy
For 2026, Gulf has earmarked THB 25–30 billion in investment, with around 30% allocated to renewable energy and 60% directed to new S-curve businesses such as data centers, cloud, and artificial intelligence, as well as other ventures. Funding will be sourced from internal cash flow, new debenture issues, and both domestic and international loans.
Additionally, the company plans to issue THB 60–70 billion in debentures in 2026 to refinance the maturing ones and support new projects. Management is considering shifting to a bi-annual dividend payment, pending board approval.
Gulf’s five-year investment plan (2026–2030) calls for THB 100–120 billion in spending, with about 70% allocated to renewable energy projects aimed at driving EBITDA growth by 10–15% annually. The company expects several renewable power plants to reach COD through 2033, with plans to join government initiatives such as the 2,000 MW direct PPA scheme and 1,500 MW community solar program.
Analyst Perspectives and Target Price
According to Globlex Securities, GULF has strong underlying fundamentals, trading at THB 40–41 per share after recent softness following an electricity tariff reduction. The commencement of two new solar projects and upcoming CODs in December are expected to enhance power business earnings. Most of the profits are driven by its natural gas power generation, shareholdings in ADVANC, and other ventures, supporting expectations that the share price could rise toward THB 45–50 per share.
Krungsri Securities (KSS) highlights that 2026 growth will be underpinned by new renewable capacity additions (354 MW scheduled for COD in late 2025), LNG shipping, and higher profit contributions from ADVANC and the Jackson facility.
With an increase in LNG shipments to 70 vessels, income from LNG shipping is estimated to rise by THB 1.5–2 billion from this year’s THB 11–12 billion base. Improving profit contributions from wind farms in Thailand and Germany are also anticipated, supported by seasonal factors and reduced financing costs following recent debenture issuance.
Following these, Krungsri maintains a ‘Buy’ rating for GULF, affirming the 2026 target price at THB 59 per share, reflecting expectations for further CODs, strong ongoing growth, and potential upside from the renewable PPA phase 2.1 contract approvals if the government proceeds as expected later this year.
