Mitsubishi, along with other project sponsors, has secured $692m financing for the cross-border 600MW Monsoon wind power project in Laos.
A loan agreement in this regard has been signed with the Japan International Cooperation Agency, Asian Development Bank, Sumitomo Mitsui Banking, and other lenders.
Mitsubishi has made investment in the onshore wind project through its fully-owned subsidiary Diamond Generating Asia.
Other partners in the wind project are ACEN Renewables International, STP&I Public, BCPG Public, Impact Electron Siam, and SMP Consultation Sole.
To be developed in the Sekong and Attapeu provinces in southern Laos, the Monsoon wind power project is expected to have the largest installed capacity for any wind facility in Southeast Asia.
The cross-border wind project with an estimated total project cost of $950m will feature 133 wind turbine generators.
Upon its completion, the Monsoon cross-border wind project will provide the produced clean energy to Vietnam Electricity, a Vietnamese state-owned electric power company, under a 25-year power purchase agreement.
Construction of the onshore wind farm is scheduled to commence this year, with operations expected to begin in 2025.
Mitsubishi stated that being the first cross-border renewable energy project in the ASEAN region, the Monsoon wind farm will be central to the shared plan of the governments of Vietnam and Laos.
The plan is to deliver 5GW of electricity from Laos to Vietnam by the end of this decade.
The Monsoon wind power project is anticipated to transmit clean energy to central Vietnam through a 500kV transmission line.
Besides, the onshore wind facility is expected to contribute to Vietnam’s target of eliminating the country’s carbon emissions by 27% by 2030.
In October 2022, Mitsubishi Power announced that the fourth and final unit of the Chonburi power plant, a 2.65GW natural gas-fired power facility in Thailand, commenced operation.
