Mitsubishi-led group awarded contract for $2.2bn thermal plant in central Vietnam

Mitsubishi-led group awarded contract for $2.2bn thermal plant in central
Vietnam

The Vietnamese General Department of Energy granted Monday an investment
agreement on a gigantic thermal power plant in the central region to a
developer which is a consortium led by Japan's Mitsubishi Corp.

The Build-Operate-Transfer (BOT) contract was awarded to the developer after
nearly eight years of negotiation, and within the framework of a two-day
official visit by Japanese Prime Minister Shinzo Abe to Vietnam.

In March 2009, the Vietnamese government gave in-principle approval for Vung
Ang 2 Thermal Power Co. Ltd., a joint venture mainly owned by Mitsubishi, to
develop the eponymous facility in the north-central province of Ha Tinh.

The facility has a total capacity of 1,200MW, with two 600MW turbines.

According to the agreement, the developer is expected to commission the
first turbine of the Vung Ang 2 plant by 2021, and the remaining by 2022.

The project is located at the Vung Ang Economic Zone and will be fueled by
imported coal. Once commissioned, the thermal power plant will help ensure
electricity supply for northern Vietnam, as well as national energy
security.

The megaproject is expected to cost the developer US$2.2 billion.

Following the BOT agreement, the Vietnamese Ministry of Industry and Trade
has pledged to support the developer in the next steps, including obtaining
the investment license and capital arrangement.

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Link to Original Article:
http://tuoitrenews.vn/business/39074/mitsubishiled-group-awarded-contract-fo
r-22bn-thermal-plant-in-central-vietnam

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John Diecker
APT Consulting Group Co., Ltd.

www.aptthailand.com