Nam Ngiep 1 Hydropower Project

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The US$977 million Nam Ngiep 1 HPP project involved the development of the greenfield 272.8MW generation facility located in Xaysomboun and Bolikhamxay province of Laos and a 125km of transmission line. Commercial operation was expected to begin in 2019. This BOT project reached financial closure in October 2014, as the loan agreement was signed. The Kansai Electric Power(45%) led Nam Ngiep 1 Power Co Ltd, a consortium that consists of three sponsors: Kansai Electric Power (45%), EGAT International (EGATi) (30%), which is a subsidiary of Electricity Generation Authority of Thailand (EGAT), and Lao Holding State Enterprise (25%), a wholly-owned subsidiary of the Government of Laos. Nam Ngiep 1 Power Co signed agreements with the Japan Bank for International Cooperation (JBIC), the Asian Development Bank and Thai and international banks. The ADB would provide US$50 million as a direct loan, and has mandated Mizuho, Sumitomo Mitsui Banking Corporation and the Bank of Tokyo-Mitsubishi UFJ to lend a US$72 million B loan facility. ADB would be lender of record on the B loan. The debt package would also include a Thai baht tranche equivalent to US$321.5 million (THB10.2bn). The ADB was supplying US$95 million of this tranche. JBIC was also lending US$200 million as a project finance loan to the project. The sponsors would provide around US$336 million in equity to the project. The majority of hydropower generated would be delivered to neighboring Thailand. It would be sold to Electricity Generating Authority of Thailand. The plant would also supply power domestically to Laos's state-owned electricity company over a 27-year concession period.