PetroVietnam Power, a subsidiary of state-owned PetroVietnam, has awarded a $940 million contract to a consortium of South Korea’s Samsung C&T and Vietnam’s Lilama to build Vietnam’s first LNG-fueled power plants.
In February, Samsung C&T, the construction unit of Samsung Group, also informed it has received a $510 million plant contract from Vietnam. Petro Vietnam Power ordered it to build the country’s first combined-cycle power plant. Samsung C&T then said it will form a consortium with local builder Lilama Corp. The consortium will build gas and steam turbines, heat recovery steam generators, substations, and power transmission lines for the plant.
Now, the Korean-Vietnamese consortium won the engineering, procurement, and construction (EPC) contract. Under this, it will build the Nhon Trach 3 and Nhon Trach 4 plants. The plants in Dong Nai province will hold a combined capacity of 1500 megawatts.
The contract value is more than $940 million. The entire project will amount to $1.4 billion.
Furthermore, this is the first LNG -fueled thermal power project in Vietnam. Therefore, it is significantly contributing to the implementation of the country-s net-zero by 2050 strategy.
Nhon Trach 3 and 4 project will go into operation in 2024-2025, annually stably supplying the national electricity grid with about 9 billion kWh. The plants will use GE gas turbines.
The project contributes to promoting clean energy transition in Vietnam. In addition, it is to open a new chapter in the formation and development of a chain of LNG projects in Vietnam.