Petrovietnam breaks ground on $1.1 bln thermal power plant in Mekong Delta

State-run Petrovietnam on Tuesday started construction of its VND27.7 trillion ($1.05 billion) O Mon IV thermal power plant in the Mekong Delta city of Can Tho.

The 1,155 MW facility forms a linchpin of the Block B-O Mon gas-to-power chain, which holds an estimated 100 billion cubic meters of gas and will supply 5-6 billion cubic meters annually to generate tens of billions of kilowatt-hours of clean electricity.

The Block B-O Mon gas-to-power chain includes component projects: offshore gas exploitation at Block B, Block B-O Mon gas pipelines, and a thermal power plant cluster.

Located in the Malay-Tho Chu basin off southwest Vietnam, Block B is the country’s second-largest upstream gas project behind Ca Voi Xanh (Blue Whale). The project chain has been mired in hurdles, pushing back overall progress by almost two decades, according to the government's news portal.

O Mon IV is seen as the “critical path” project that will determine the effectiveness of the entire chain, especially as upstream gas development is already two years ahead of the power plant. Therefore, the government assigned Petrovietnam to lead the investment.

Commercial operations are slated for December 2028, in sync with first gas from Block B. Once completed, O Mon IV will raise the total power capacity that Petrovietnam manages and operates to more than 9,300 MW, accounting for about 10% of the total capacity of the national grid.

The plant will supply stable, clean energy to the Mekong Delta, spurring socio-economic development, and bolstering national energy security. It aligns with the clean energy development orientation under the National Power Development Plan and will support the country’s pledge to cut greenhouse gas emissions while expanding sustainable and clean energy sources.

A consortium of South Korea's Doosan Enerbility Co., Ltd. and Vietnam's Power Engineering Consulting Joint Stock Company 2 (PECC2) has been selected as the EPC contractor via international open bidding.

Doosan serves as the lead contractor, responsible for design, technology and equipment supply, and construction of the plant. The company has previously delivered large-scale projects including Vinh Tan 4 thermal power plant in central Vietnam.

For O Mon IV, Doosan pledged to deploy its latest generation of combined-cycle gas turbine technology to maximize efficiency, reduce fuel consumption, and curb emissions. The company highlighted its track record, including Vinh Tan 4, which it completed three months ahead of schedule, underscoring its execution capabilities on large-scale projects.

At the groundbreaking ceremony, Doosan executives reiterated their commitment to delivering O Mon IV on time and to the agreed quality standards.

In its 2050 vision, Doosan said it aims to continue partnering with Vietnam not only as a key equipment supplier and EPC contractor for clean energy projects, but also as a partner in the country’s nuclear power development strategy - a field expected to help meet surging electricity demand.

Local partner PECC2 will provide consulting, design, EPC and on-site technical supervision, playing a pivotal role in ensuring engineering and construction quality.

The firm has worked on more than 100 power projects with a combined capacity exceeding 62,000 MW, 160 substations totaling over 30,000 MVA, and 460 transmission lines spanning more than 6,600 kilometers.

Its portfolio includes the Tri An hydropower plant expansion project in the southern province of Dong Nai, the 500kV transmission line from Quang Trach (Quang Tri province in central Vietnam) to Pho Noi (Hung Yen province in the north), and the expansion of the national grid to Con Dao island off Ho Chi Minh City.

In January, PECC2, Saigon Jim Brother’s Corporation (EVM), and Solarvest (Vietnam) Company Limited - a wholly-owned subsidiary of Malaysia’s energy solution provider Solarvest Holdings Berhad signed an MoU marking the start of a strategic partnership aimed at accelerating the adoption of renewable energy solutions in Vietnam.

The O Mon IV thermal power plant has been selected as one of 250 landmark projects to mark Vietnam’s 80th National Day (September 2). A ceremony was held on Tuesday to simultaneously inaugurate and launch work on the 250 projects.