Korea-invested LNG power project’s feasibility report set for October approval

Minister of Industry and Trade Nguyen Hong Dien has set October 31 as the deadline for approving a feasibility study for the 1,500 MW LNG-fired Hai Lang power center project in Quang Tri province.

The ministry’s Electricity Regulatory Authority of Vietnam (ERAV) has been tasked with assessing and approving the study for the South Korea-invested project.

At a meeting last week between the ministry and authorities of the central province, Dien noted his deadline for approval was later than the province’s original target of August 30.

The minister also asked Quang Tri authorities to complete adjustments to the local masterplan soon so as to facilitate legal procedures; and work with the Ministry of Transport to advance the project’s gas terminal portions.

Dien noted that the coal-to-LNG conversion of the project must be approved by the Government for inclusion in the Power Development Plan VIII (PDP VIII) and asked the ministry’s agencies to determine whether it was doable.

He asked state utility Vietnam Electricity (EVN) to check investments or investment promotion for the grid in Quang Tri to facilitate operations of power plants located in the province.

Reviewing the province’s power development at the meeting, Quang Tri authorities noted that approved renewable energy portfolio now included 31 wind power projects of 1,177.2 MW, three solar power projects of 125.4 MW, and 18 hydropower projects of 260.5 MW.

Of these, 20 wind power projects of 742.2 MW were operational, as were three solar power projects of 119.6 MW, 11 hydropower projects of 167.5 MW and rooftop solar power projects of 90.7 MW.

The approved portfolio also included two coal-fired power plants of 2,400 MW, they noted, adding that Quang Tri has received investment proposals for gas-fired power plants of 6,340 MW within its Dong Nam Quang Tri economic zone.

The 1,500-MW Hai Lang Power Center, with an investment of $2.3 billion, will be built by a consortium, comprising South Korea's Hanwha Energy, Korea Gas (Kogas) and Korea Southern Power (Kospo); and Vietnam’s T&T Group.

The consortium had broken ground for the first phase of the $2.3-billion LNG power complex in January 2022, but little progress has been made since.

In July, provincial authorities signed a memorandum of understanding on green growth and energy transition with South Korea’s SK E&S under SK Group and Vietnam’s T&T Group.

Under the MoU, they will collaborate in coal-to-LNG conversion for a power plant, green hydrogen production, carbon emission reduction and carbon credit management.