China Power Hub Generation Company

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The project entails the development, construction and operation of 2×660 MW Coal-fired Power Plant in Hub, Balochistan, near the existing HUBCO’s RFO power plant. During commercial operations, the project will provide 9 billion kWh electricity to the National Grid every year that will meet the electricity needs of 4 million households in Pakistan. China Power Hub Generation Company is a joint-venture between China Power International Holding (74%) and Hub Power Company (26%). The groundbreaking ceremony of the project was held in March 2017 and since then CPIH has provided $300 million as shareholder loan to pay for project construction. Total investment is estimated at $1,940 million. The debt-to-equity ratio on the power plant is approximately 77:23. Debt financing is provided by a consortium of Chinese banks comprising: China Development Bank, Exim Bank of China, Industrial Bank of China, China Construction Bank, Bank of Communications. Total amount of debt funding is $1.5 billion. Financial closure occurred on 30 October 2017. CPHGC has selected two of the industry’s most powerful enterprises in China as its EPC contractors. They are NWEPDI (North West Electric Power Design Institute) & TEPC (Tianjin Electric Power Construction) Consortium for power plant EPC, and CHEC (China Harbor Engineering Company Ltd.) for Jetty EPC, the later one has operated in Pakistan for the last 20 years. The fuel of the project will be imported coal from South Africa and Indonesia. The jetty and the coal transhipment facility which are under construction will be able to provide up to 4.3 MTPA of coal to the plant. The jetty will be connected to the shoreline through a trestle and causeway. Expected Commercial Operation Date (COD) for the first unit of 660-MW is December 2018, and for the second unit of 660-MW August 2019. https://www.brecorder.com/2017/10/30/377649/cphgc-signs-1-5bn-foreign-financing-agreement-with-chinese-lending-consortium/ http://fossilfuel.energy-business-review.com/news/cphgc-set-to-commence-construction-of-1320mw-coal-fired-power-plant-in-pakistan-220317-5768969 https://www.dawn.com/news/1321768