Five investors register for $2.2 bln LNG power project in central Vietnam

Five investors have applied to join the $2.2 billion Quynh Lap LNG-fired power plant project in Nghe An, according to the provincial Department of Planning and Investment.

A consortium comprising PV Power - a subsidiary of state-owned giant Petrovietnam, Nghe An Sugar LLC and SK E&S Co., Ltd. has sought to use 332.28 hectares (59.75 hectares of land and 272.53 hectares of water surface).

Power Generation Corporation 1 (EVNGENCO 1), a subsidiary of state utility Vietnam Electricity, wants 260 hectares (60 hectares of land and 200 hectares of water surface).

South Korea’s Posco International and Trung Nam Construction Investment JSC are looking to use 345.3 hectares (95.55 hectares of land and 249.75 hectares of water surface); while Japan’s Sumitomo Corporation has targeted 182.63 hectares (65.6 hectares of land and 117.13 hectares of water surface).

A consortium comprising Viet Thanh Bamboo Energy Investment JSC and Qatar’s Gulf Petroleum Limited has targeted 175.9 hectares (57.9 hectares of land and 118 hectares of water surface).

After the provincial People's Council approves the list of land areas for bidding to select investors for the project, the Department of Planning and Investment will carry out the next steps including organizing a tender as well as procedures for granting in-principle approval for the project.

According to the provincial People's Committee, the procedures for approving investors are expected to be completed in the first or second quarter of 2025, followed by a tender to select the investors.

As originally envisaged, the project is set to cover 210 hectares in Dong Minh and Dong Thanh villages in Quynh Lap commune, Hoang Mai township (60 hectares of land for the plant and 150 hectares of water surface).

The 1,500-MW Quynh Lap LNG-to-power plant has been included in the national power development plan VIII (PDP VIII) as a prioritized project. The facility will comprise an LNG-fired power plant, a gas terminal, a dyke and a receiving terminal.

It will have an LNG input of about 1.15 million tons a year and a port to receive ships of about 100,000 DWT. It is expected to begin commercial operations before 2030.

The Quynh Lap project was initially planned as a thermal power plant spanning 283 hectares in Quynh Luu district. In the previous national power plan, PDP VII, the project had two factories, Quynh Lap I and Quynh Lap II, with a total capacity of 2,400 MW.

This project and other coal-fired power plants with a combined output of 13,220 MW have been removed in the latest plan, PDP VIII.