Trung Nam-Sideros River consortium wins bid for LNG venture

Trung Nam-Sideros River consortium wins bid for LNG venture

A consortium between Trung Nam Group and Sideros River has won the bid for the Ca Na liquefied natural gas (LNG) power plant venture, with a total investment of $2.2 million.

Planning of the Ca Na LNG power plant

On January 28, Khanh Hoa People’s Committee approved investor selection for the Ca Na LNG power plant.

The power plant is located in Ca Na commune of Khanh Hoa province, with a capacity of 1,500MW. It also features an LNG terminal with a capacity of 1.0–1.2 million tonnes per year, and other auxiliary facilities.

The undertaking is expected to use approximately 265.7 hectares of land. Among them, 33.4ha are allocated for the power plant and technical corridors, while about 232.3ha of water surface will be used for LNG storage and regasification facilities.

It will also involve one 220,000-cubic-metre storage tank, an LNG import port, a 2,400-metre breakwater and related support facilities.

The scale of the venture will be calculated one more time after the construction and land procedures are completed. The winning electricity tariff stands at VND3,294 (13 US cents) per kilowatt-hour.

The venture is scheduled to complete construction and commence operation before the end of 2030, with an operating term of 50 years from the date the investor is granted land allocation, land lease, or approval for land-use purpose conversion.

The decision noted that during contract negotiations and project implementation, the Trung Nam-Sideros River consortium must commit sufficient capital (both equity and loan capital) to implement it. It must supplement relevant documents concerning Power China’s experience in operation and maintenance for similar projects while completing consular legalisation during the contract negotiation process. They must also determine specific milestones as a basis for monitoring and urging implementation progress.

Another commitment is to complete construction and bringing the venture into operation before the end of 2030, in accordance with the schedule stated in the bidding dossier. The investor should strictly comply with the requirements set out in the bidding documents and the commitments made in the bid dossier.

The Department of Industry and Trade of Khanh Hoa is assigned to negotiate the contract with the investor and submit it to the provincial People’s Committee for signing. The department not only publicly discloses the investor selection results and key information of the project contract, but also organises implementation.

VIR