Partners ink on US$2 billion thermal power plant project

Nhan Dan – A US$2 billion Building – Operation – Transfer (BOT) contract on building the Vinh Tan 1 Thermal Power Plant in Binh Thuan province was signed at a ceremony in Hanoi on December 12. 

Minister of Industry and Trade Vu Huy Hoang presents the Government’s guarantee certificate to the project’s representative (Source: baocongthuong.com.vn)
Minister of Industry and Trade Vu Huy Hoang presents the Government’s guarantee certificate to the project’s representative (Source: baocongthuong.com.vn)

 The Government allowed the China Southern Power Grid Co., Ltd., the China Power International Development Limited and the Vietnam National Coal and Mineral Industries Holding Corporation (Vinacomin) to carry out the project as part of a master plan on the Vinh Tan Power Centre.

This is the biggest Chinese project in Vietnam, which is scheduled to be completed by 2018 and the 1,200MW plant will supply eight billion Kwh/year. 20% of the total investment comes from equities and 80% are lent by financial institutions.

The project’s financing will be arranged from six months to one year. The plant’s first unit is planned to put into operation in the second quarter of 2019 and the other will operate in the last quarter. It will be transferred to the industry sector after 25 years of operation.