B.Grimm Power Public Company LimitedRising gas prices increase fuel costs for SPP operator BGRIM, pressuring earnings.
Analysts from Kiatnakin Phatra Securities revealed that surging natural gas prices are pressuring the power plant stock group. Thailand's average gas cost rose from 347 baht per million BTU in June to 380 baht per million BTU in July, following a 19% month-on-month increase in imported LNG prices. Prices are expected to rise further in August and September due to supply disruptions in the Middle East and Europe accelerating gas storage refilling ahead of winter. Gas prices may remain elevated through Q4 2026. Meanwhile, PTT forecasts gas prices at 360–420 baht per million BTU in Q3 2026. If the quarterly average exceeds 380–390 baht per million BTU, it would pose additional downside to earnings estimates for the power plant group, especially BGRIM and GPSC, which primarily operate SPPs. Power plant stock prices will be volatile in the short term, but there is a positive factor from progress on the PDP plan, which will open for public hearings on September 8. Therefore, the strategy recommends waiting to buy on weakness, viewing GULF as a standout stock whose short-term earnings are less affected by gas prices than others.
B.Grimm Power Public Company LimitedRising gas prices increase fuel costs for SPP operator BGRIM, pressuring earnings.
Global Power Synergy PCLGPSC, an SPP operator, faces higher gas costs, negatively impacting earnings.
Gulf Energy Development Public Company LimitedGULF is highlighted as least affected by gas price increases, with less earnings impact.
PTT Public Company LimitedPTT forecasts gas prices, but its own earnings impact is not directly discussed.