Cavico Corporation subsidiary, Cavico Mining, has received an investment license for the Tan My Hydropower Plant, giving the company the right to build, own and operate a hydropower plant downstream from the Tan My Irrigation Reservoir in Ninh Thuan Province, Vietnam.

The license was issued by the People’s Committee of Ninh Thuan Province to Cavico Tan My Trang An Hydropower Company, a majority-owned subsidiary set up by Cavico Mining to undertake this project.

The plant will be built on an area of approximately 280,000 square feet in Phuoc Tan Village, Ninh Thuan Province. The plant has a designed capacity of 6MW and is expected to produce approximately 25MkWh of power annually. At the expected rate of $0.05 per kWh, the plant will generate $1.25M per year in total revenue. The total estimated investment cost of the project is $6.7M.

The Institute of Hydro and Renewable Energy (IHR) has been appointed to carry out the feasibility study and create a design for the project.