Northern Vietnam province determined to break ground on LNG-fueled power project in Sept

A $2.56 billion LNG-fueled power project in the northern province of Hung Yen is set to break ground in September, local authorities reaffirmed.

The timeline was mentioned at a Wednesday meeting chaired by Nguyen Quang Hung, Vice Chairman of the provincial People's Committee, on the Thai Binh LNG-to-power project progress.

The 1,500 MW facility is located in former Thai Binh province, which is now part of Hung Yen after the recent merger of the two provinces.

Previously, at a meeting with the investors on February 18, 2025, Thai Binh authorities said they were facilitating the site clearance so as the project could break ground in September per its schedule.

A project report by the investors dated June 2025 said the project is slated to break ground later this year.

The plant is designed to have two turbines, with the first expected to come online in Q4/2028 and the second in Q4/2029. It is expected to operate 6,000 hours per year, generating around 9 billion kWh annually.

The project will occupy 263.43 hectares within the Thai Binh Economic Zone, including 53.8 ha of land for the power plant and auxiliary facilities, and 209.7 ha of water surface for LNG regasification terminals, pipelines, and related infrastructure.

Approved in December 2023, the project is jointly invested by Tokyo Gas, Kyuden Group (both from Japan), and Truong Thanh Vietnam Group.

The three investors will contribute a total of $298.6 million in equity, equivalent to 15% of the project’s investment capital. Tokyo Gas will hold a 40% stake, while Kyuden Group and Truong Thanh Vietnam will hold 30% each.

Regarding land acquisition, compensation, and site clearance, up to now, about 2.2 ha out of 57 ha of land onshore have seen compensation paid. Documents are being completed to make compensation for the remaining land, including aquaculture land, traffic land, and residential land.

Hung requested the Thai Binh Economic Zone Management Board to coordinate with the Department of Finance and other relevant agencies to complete relevant procedures to ensure conditions for the project to start construction in September.

A report by the province Department of Finance said that using combined cycle gas turbine (CCGT) technology will help the project reduce CO2 and NOx emission by half compared to modern ultrasuper critical (USC) coal-fired power plants, and does not emit SO2.

Therefore, the plant will add a cleaner source of electricity, helping Vietnam implement its Nationally Determined Contributions (NDC) on greenhouse gas reduction.

The facility will consume approximately 1.2 million tons of imported LNG per year as its primary fuel source, supplemented by 17,000 tons of domestically supplied diesel as backup. LNG imports are expected to come from Australia, Qatar, the U.S., and Russia.

According to the Decision 1509/QD-BCT issued by the Ministry of Industry and Trade on May 30, Thai Binh LNG power plant is among 11 projects of its kind set for operation in 2028-2029 under the adjusted National Power Development Plan for the 2021-2030 period, with a vision to 2050 (PDP VIII).

The remainers are Quang Ninh LNG (1,500 MW); Quang Trach II LNG (1,500 MW); Hai Lang LNG Phase 1 (1,500 MW); Hiep Phuoc LNG Phase 1 (1,200 MW), Long An I LNG (1,500 MW); Son My I (2,250 MW); Son My II (2,250 MW); Nghi Son LNG (1,500 MW); Ca Na LNG (1,500 MW); and Quynh Lap LNG (1,500 MW).

Meanwhile, Vietnam's first LNG power plants, Nhon Trach 3 and 4 in the southern province of Dong Nai, are expected to begin commercial operations this year.

Accordingly, the Nhon Trach 3 plant, which was connected to the national grid on February 5, is scheduled to start commercial operations in August, while Nhon Trach 4 is expected to follow in November.