Stanchart to act as financial advisor for Vietnam’s green hydrogen project

Standard Chartered Bank Vietnam has reached an agreement to provide finance advisory services for the 260MW Tra Vinh green hydrogen manufacturing project in the country’s southern province of Tra Vinh.

The bank said it entered the agreement recently with TGS Tra Vinh Green Hydrogen Corporation (TGS), a member of The Green Solutions Group.

The project, Vietnam's first green hydrogen plant in the Mekong Delta, kicked off construction in March 2023 in Duyen Hai district, Tra Vinh province. It covers an area of 20.7 hectares and has an estimated cost of VND7,856 billion ($308.6 million).

The agreement follows the signing of a memorandum of understanding between Standard Chartered and The Green Solutions Group at the 28th Conference of the Parties (COP28) in Dubai in December 2023 in the presence of Vietnam's Prime Minister Pham Minh Chinh.

The formalization of the agreement solidifies Standard Chartered and TGS’s joint ambition to deliver on the Vietnamese government’s goal of reaching net zero emissions by 2050, the bank stated.

Through this partnership, Standard Chartered and TGS, a pioneer in the green hydrogen and ammonia sector in Vietnam since 2021, aim to successfully deliver financing solutions required to realize the project.

At COP28, Standard Chartered and the Vietnamese government exchanged five memorandums of understanding, valued at approximately $3 billion in sustainable financing to support local businesses to achieve their sustainability goals.

Standard Chartered is committed to expanding the scale and reach of sustainable finance, with plans to mobilize $300 billion in sustainable finance by the end of this decade. It aims to achieve net zero in its financed emissions by 2050, and in its own operations by 2025.