China Southern Power Grid Company Limited and China Power International Holdings Limited have signed an EPC contract for a $2 billion power project in Vietnam’s central province of Binh Thuan. The Chinese companies will build the 1,200 MW Vinh Tan 1 coal-fired power plant on a government guarantee and undertakings basis. The facility will be handed to the state-run Vietnam National Coal-Mineral Industries Holding Corporation Limited (Vinacomin) after 25 years of operation. Vinacomin is one of the investors in the project. The plant is expected to use domestic coal. According to reports, up to 80 per cent of the energy projects in Vietnam are developed by Chinese contractors.
