AES grabs finance to fire up key power plant
AES Corporation has ensured finance for one of Vietnam ’s largest thermoelectricity power plants.
AES Corporation has ensured finance for one of Vietnam ’s largest thermoelectricity power plants.
The Vietnam Investment Review on Feb. 28 said that the American corporation has sold 30 and 19 percent stakes in AES-VCM Mong Duong Power Co. Ltd to Posco Power Corp of the Republic of Korea and China Investment Company of China (CIC). The agreements were signed in Seoul recently.
AES said it was also waiting for Vietnamese government’s approval for the acquisition of 10 percent stakes from the state-owned Vietnam National Coal, Mineral Industries Holding Corporation in the Mong Duong 2 coal-fired power plant in Quang ninh province.
“The joint venture agreements signed on Feb. 28 will help ensure that the financing is properly obtained and the project construction schedule can be met successfully. We are very excited that strong partners like Posco Power and CIC are joining the project and we all share the common aim of making Mong Duong 2 a project that Vietnam will be proud of,” said Ian Fox, chief executive officer at AES-VCM Mong Duong Power Co. Ltd.
The 1.9 billion USD plant, which was granted an investment certificate last year, is one of Vietnam ’s most important power projects. The 1,200 megawatt project, once operational, is expected to ease severe electricity shortages in the country.
Vietnam has great power sector potential as power demand in country is expected to grow at 17 to 22 percent during 2006-2015.
AES Corporation said the project was expected too start construction in mid-2011. So far, roughly 1.4 billion USD of debt is being raised from international banks with the expected support of export credit agencies of the Republic of Korea .
AES-VCM Mong Duong Power Co. Ltd last December signed a 1.3 billion USD contract with Doosan Heavy Industries and Construction Corporation for building the power plant. Meanwhile, operations and maintenance for the project will be provided through the joint collaboration of AES and Posco power.
Mong Duong 2 is the first foreign-invested coal-fired, build-operate-transfer power project in Vietnam since 2001. Previously, a joint venture between Japanese Sumitomo Group and TEPCO Company and French EDF Energy gained licence for investing into the Phu My 2.2 project and a consortium of Kyushu Electric and Sojitz Corporation, BP and SembCorp Utilities invested in the Phu My 3 project./.
The Vietnam Investment Review on Feb. 28 said that the American corporation has sold 30 and 19 percent stakes in AES-VCM Mong Duong Power Co. Ltd to Posco Power Corp of the Republic of Korea and China Investment Company of China (CIC). The agreements were signed in Seoul recently.
AES said it was also waiting for Vietnamese government’s approval for the acquisition of 10 percent stakes from the state-owned Vietnam National Coal, Mineral Industries Holding Corporation in the Mong Duong 2 coal-fired power plant in Quang ninh province.
“The joint venture agreements signed on Feb. 28 will help ensure that the financing is properly obtained and the project construction schedule can be met successfully. We are very excited that strong partners like Posco Power and CIC are joining the project and we all share the common aim of making Mong Duong 2 a project that Vietnam will be proud of,” said Ian Fox, chief executive officer at AES-VCM Mong Duong Power Co. Ltd.
The 1.9 billion USD plant, which was granted an investment certificate last year, is one of Vietnam ’s most important power projects. The 1,200 megawatt project, once operational, is expected to ease severe electricity shortages in the country.
Vietnam has great power sector potential as power demand in country is expected to grow at 17 to 22 percent during 2006-2015.
AES Corporation said the project was expected too start construction in mid-2011. So far, roughly 1.4 billion USD of debt is being raised from international banks with the expected support of export credit agencies of the Republic of Korea .
AES-VCM Mong Duong Power Co. Ltd last December signed a 1.3 billion USD contract with Doosan Heavy Industries and Construction Corporation for building the power plant. Meanwhile, operations and maintenance for the project will be provided through the joint collaboration of AES and Posco power.
Mong Duong 2 is the first foreign-invested coal-fired, build-operate-transfer power project in Vietnam since 2001. Previously, a joint venture between Japanese Sumitomo Group and TEPCO Company and French EDF Energy gained licence for investing into the Phu My 2.2 project and a consortium of Kyushu Electric and Sojitz Corporation, BP and SembCorp Utilities invested in the Phu My 3 project./.
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