A consortium of banks led by the Japan Bank for International Cooperation (JBIC) has approved a loan for the Van Phong coal-fired power plant project in Vietnam.
JBIC and its partners have agreed to provide $1.99 billion of finance for Van Phong 1, a planned 2 x 660 MW supercritical coal-fired power plant in Van Phong district, Khanh Hoa province.
The loan will be co-financed with Sumitomo Mitsui Banking Corporation, MUFG Bank, Ltd., Mizuho Bank, Ltd., Sumitomo Mitsui Trust Bank, Limited, Oversea-Chinese Banking Corporation Limited and DBS Bank Ltd., and the Bank of China. The co-financed portion will be covered by insurance from Nippon Export and Investment Insurance (NEXI), JBIC said.
Electricity from the Van Phong 1 plant will be sold to EVN for 25 years. The project is being developed by Japan’s Sumitomo Corporation.