Credit contract signed for Hau River 1 Thermal Power project
Friday, 25/11/2016 12:14 (GMT+7)
A credit contract worth USD1.2 billion to invest in Hau River 1 Thermal Power Plant was signed among the Vietnam National Oil and Gas Group (PVN), Korean Export and Import Bank (Kexim), and nine foreign commercial banks on November 23rd.
Representatives at the signing ceremony. (Photo: baocongthuong.com.vn)
The credit contract is insured by Kexim and Korea Trade Insurance Corporation.
The Hau River 1 Thermal Power Plant has the main investor of PVN, with the total capacity of 1,200 MW and consists of two units (2x600MW). It is built on an area of 115ha in the Mekong Delta province of Hau Giang.
This is among the key projects ratified by the Prime Minister. It is permitted to apply specific mechanisms to build urgent power works in order to meet the increasing power demand in the southern region during the 2013-2020 period.
The project has a total investment capital of USD2.05 billion, in which lending capital is USD1.43 billion (about 70%).
PVN has finalized the arrangement of foreign currency capital, with USD987 million from Korean Export Credit Agency within 17 years and foreign loans of USD213 million within 10 years.
Earlier, the EPC contractor Lilama and PVN signed a deal for the construction of the project in April 2015. As planned, the first unit will be operating in October 2018, while the second unit will begin generation in February 2019./.
BTA
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