Doosan locked into power development

The $1.5 billion plant is a part of the 2,400 megawatt Quynh Lap power centre agreed to be built in Nghe An province by the Ministry of Industry and Trade (MoIT) in March 2009, which will have a total of two thermal power plants.

The plant, invested by Vietnam Coal and Mineral Industries Group (Vinacomin), will have a total capacity of 1,500MW.

It was the first power plant chosen by the government in March 2010 to apply results of the Ministry of Science and Technology’s study. Under the joint venture agreement, Doosan Vina, a Vietnam-based affiliate of Doosan, will lead the joint venture including Lilama and the Narime to do research, design and manufacture power equipment and machinery for the plant.

Doosan is also responsible to help arrange capital investment for Vinacomin to develop the project, which is scheduled to be commissioned in 2016.

In early November 2010, the government requested the investor and the MoIT, which is responsible to manage power projects through out the country, to accelerate preparation to enable a signing of an engineering, procurement and construction  (EPC) contract with the three joint contractors in October 2011.

On December 10, 2010, Doosan also won a $1.3 billion EPC contract from the AES-VCM Mong Duong Power to build the 1,200MW Mong Duong 2 coal-fired power plant in Quang Ninh province in northern Vietnam.

The $2.1 billion Mong Duong 2 project is invested by AES, which will provide 90 per cent of the investment capital and Vinacomin the remainder. The project’s construction is scheduled to complete in 2015, expected to supply about 8.1 billion kilowatt hours per annum.

In  a separate development, China Eximbank signed a loan deal on December 17 with Vietnam’s Ministry of Finance (MoF) to support the development of the 1,244MW Vinh Tan 2 coal-fired power plant in central Binh Thuan province.

Under the deal, the Chinese bank pledged to provide a $300 million loan to Electricity of Vietnam (EVN), the project’s investor, to develop the plant.

The Shanghai Electric Group won an EPC contract from the EVN to build the main power plant of the $1.38 billion Vinh Tan 2 project last September.