EVN said in a statement on Friday that it has signed a loan agreement with a consortium of Vietnamese banks comprising Vietcombank, VietinBank, BIDV, and Agribank for the first component of the Quang Trach II LNG power plant project.
The total value of the loan is 29.57 trillion Vietnamese dong ($1.13 billion).
EVN noted that the LNG power plant will have a capacity of 1,500 MW, consisting of two 750 MW units.
The total investment will reach 52,490 billion dong ($2 billion), of which 20 percent is equity and 80 percent is commercial loans.
EV said the project consists of two components.
The first is the power plant, using the combined cycle gas turbine (CCGT) technology, with a total investment of 40,123 billion dong, while the second comprises the LNG storage facility and jetty, with an estimated investment of 11,800 billion dong
According to EVN, the project is expected to begin commercial operations in 2028-2029 and be fully completed by 2030.
In 2024, EVN received approval for its Quang Trach II LNG power plant.
Previously, the Vietnamese government approved the 1200 MW Quang Trach II coal-fired power plant.
However, EVN proposed after that to amend the project and to switch from coal to LNG.
The project was included in the national power development plan VIII (PDP VIII) issued in May 2023.
In October 2024, PetroVietnam Gas, a unit of state-owned PetroVietnam, also signed a memorandum of understanding to supply LNG to EVN.
Last year, EVN awarded a consulting contract for the project to a consortium of Power Engineering Consulting Joint Stock Company 1 (PECC1) and Power Engineering Consulting Joint Stock Company 3 (PECC3).
