Vietnam state oil monopoly Petrovietnam has signed an agreement with Laos to invest US$1.7 billion in the 1,240-MW Luang Prabang hydropower project in Laos’ Luang Prabang Province.
Petrovietnam officials said Luang Prabang would be developed on the Mekong River on a build-operate-transfer basis. The officials declined to give a schedule for construction of the project.
A delegation of Vietnamese businesses, including Petrovietnam, visited Laos in early October securing agreements to invest in 13 projects including Luang Prabang, state-run Vietnam News Agency said.
Studies have found Luang Prabang to be among a half-dozen feasible hydropower sites on the Mekong within Laos.
In June, Petrovietnam established Petrovietnam Power Corp. to invest in and run power plants, including hydropower. (HNN 6/18/07) The wholly owned subsidiary also is to oversee a number of hydropower projects in which Petrovietnam has investment interest.