Vietnam’s Agriculture and Rural Development Bank (Agribank) has approved a loan of 844 billion dong (US$53 million) for construction of the 90-MW Bac Ha hydroelectric project in Lao Cai Province near Vietnam’s northern border.
State-owned Vietnam News Agency said Agribank signed a loan agreement October 30 with the plant’s investor, Infrastructure Development and Construction Corp. (Licogi). Agribank said Bac Ha is the first hydroelectric project it has financed.
During the ceremony, Agribank General Director Le Van So suggested Licogi would take responsibility for the remainder of financing, including loans from Vietnam Development Bank and some foreign banks. The total project is to cost 1.664 trillion dong (US$104 million).
Construction began in 2005 on Bac Ha as part of the government’s 2001-2020 comprehensive master plan on electricity. When completed in 2009, it is to generate 370 million kWh per year.
Viet bank funds 250-MW Sekamang 3 in Laos
Vietnam News Agency also reported the Bank for Investment and Development of Vietnam agreed to lend 1.15 trillion dong (US$71.7 million) to the Vietnam-Lao Electricity Investment Development Joint Stock Co. to construct the 250-MW Sekamang 3 hydroelectric project in Laos’ Sekong Province.
Sekamang 3, also spelled Xekaman 3, is a foreign investment project by Vietnamese enterprise being built on a build-operate-transfer basis for a total cost of 4.26 trillion dong (US$266 million). Xekaman 3 Electronic Ltd. Co. was established to carry out the project by shareholders including Vietnam-Lao Electricity Investment and Electricite du Laos.
Song Da Corp., Vietnam’s largest power plant builder, began construction of the project earlier this year. (HNN 4/10/06) Upon completion, it is to generate 982 million kWh annually, with 90 percent exported to Vietnam.