The contract is valued at $429.5m. The power plant is located on a 72 hectors area in Dong Trieu district, Quang Ninh province. The total cost to construct the well-equipped power plant is expected to be $577m.
The scope of the 42 months EPC contract includes the construction and instillation of equipment at the plant, from the initial survey to test personnel training and maintenance.
The company informed that, the Mao Khe Thermoelectric Power Plant, located in the coal-mining province, would be equipped with two turbines, with a combined capacity of 440MW. The plant to generate power will use dust coal from Trang Bach, Mao Khe, Hong Thai, Khe Chuoi mines.
The construction of the power plant by the company is scheduled to commence on July 8, 2009. The plant, once operational in 2012, annually would add 2.6 billion Kilowatts (kWh) of power to the national grid.
On July 7, 2009, the Vietnam Export Import Commercial Joint-Stock Bank (Eximbank) and Vinacomin entered into a credit contract to provide $56m loan for the EPC contract. The bank would provide the loan at an annual interest rate of 4.5-4.8% for a 13-year period.
