Malaysia's Jaks to build Vietnam coal-fired plant

Jaks Resources Bhd is expected to start construction of its 1,200 MW coal-fired power project worth US$2 billion in Hai Duong province, Vietnam, in the second quarter of 2013.

Jaks said the commercial operation for the first unit of 600 MW is scheduled for the fourth quarter of 2016 and the second unit of 600 MW in the second quarter of 2017.

“The project cost is estimated at US$2 billion, which will be financed through a mix of debt and equity. The board is still in the midst of reviewing various investments and funding options,” it said in the statement.

Jaks has also incorporated Jaks Hai Duong Power Co Ltd for the project. It has signed a contract with Vietnam’s Industry and Trade Ministry, which provides for the establishment of Jaks Hai Duong to implement the facility on a build, operate and transfer  basis and transfer it to an entity nominated by the ministry upon the expiry of the concession period.

Jaks has also signed a power purchase agreement with Vietnam Electricity to sell the electricity produced from Jaks Hai Duong.

The full story is available at The Star