Van Phong 1 coal-fired power plant

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The project involves the construction of the 1320 MW (2 units x 660 MW) Van Phong 1 coal-fired power plant, located in the Van Phong Special Economic Zone, Khánh Hòa Province in the southern part of Vietnam. Sumitomo Corporation via its wholly-owned subsidiary Van Phong Power Company Ltd will execute the project under build-operate-transfer (BOT) model and the plant will sell the generated electricity to state-owned Vietnam Electricity (EVN) for 25 years. The project cost is JPY 280 billion or $ 2.675 billion. The total debt financing amounts to $ 1.998 billion of which the Japan Bank for International Cooperation will provide $ 1.199 billion. The remaining $ 799 million will be provided by Sumitomo Mitsui Banking Corporation, MUFG Bank Ltd, Mizuho Bank Ltd, Sumitomo Mitsui Trust Bank, Oversea-Chinese Banking Corporation Limited and DBS Bank Ltd, and the Bank of China. The $799 million portion is covered by insurance from Nippon Export and Investment Insurance (NEXI). Financial close was reached on 26 August 2019. Toshiba Energy Systems & Solutions Corporation in a consortium with IHI Corporation, CTCI Corporation and Doosan Heavy Industries & Construction has won the EPC contract. Construction has already started and the plant is expected to start commercial operation by the end of 2023. https://www.sumitomocorp.com/en/europe/news/release/2019/group/12310 https://www.toshiba-energy.com/en/info/info2019_0829.htm https://www.jbic.go.jp/en/information/press/press-2019/0419-012106.html https://www.nexi.go.jp/en/topics/newsrelease/2019032701.html