Vietnam Vietcombank to Arrange $1B for EVN Power Projects
Vietnam Commercial Joint Stock Bank of Foreign Trade (VCB) or Vietcombank has pledged to arrange nearly $1 billion for power projects invested by the state-run Electricity of Vietnam Group (EVN), said the bank’s General Director Nguyen Phuoc Thanh.
The bank also committed to be a leading capital arranger for EVN’s projects in the next years, Thanh said a signing ceremony of a cooperation agreement between Vietcombank and EVN in Hanoi on Aug 11.
VCB will arrange VND14.5 trillion ($759.162 million) from domestic commercial banks for EVN’s 1,200-MW Lai Chau hydropower project in the northern province of Lai Chau, which is slated for the start by end-2010, Thanh was cited by the Vietnam News Agency as saying.
He added that the bank will arrange between $102 million and $107 million for the 1,244-MW Vinh Tan 2 coal-fired power project in the central province of Binh Thuan.
VBC has financed and provided financial services to EVN’s operational power plants including Phu My 2.1 and Phy My 2.1 expanded thermal power plants; Quang Tri, Se San 3 and Pleikrong hydropower plants.
The financial institution is funding for a number of EVN’s underway power projects including Son La Srepok 3, Dong Nai 3 and Dong Nai 4 hydropower plants, which will become operational soon.
The electricity sector of Vietnam is exploring ways to mobilize a total of $80 billion for development plan in the 2006-2025 period, said the national electricity development plan until 2015 and vision 2025, or Plan VI. Of the sum, EVN needs over $33 billion. (VNA)
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