Business Business

13/09/2017 - 15:44

Agribank and VDB fund Phong Dien Solar Power Plant

Vietnam Bank for Agriculture and Rural Development (Agribank) and Vietnam Development Bank (VDB) have signed a co-financing agreement for Phong Dien Solar Power Plant project in Thua Thien Hue province.

Illustrated photo (source: TTXVN)

Phong Dien Solar Power Plant is invested by Gia Lai Electricity Joint Stock Company (GEC), built on an area of 45 hectares in My Hoa hamlet, Dien Loc commune (Phong Dien district) with total investment of nearly 700 billion VND, designed capacity of 35 MW and output of about 50 million KWh /year. The work is expected to start construction in the fourth quarter of 2017 and put into operation in the fourth quarter of 2018.

According to the agreement, the reciprocal capital of the investor is 40%, and the bank loan capital is expected to be 60%, in which Agribank Thua Thien Hue and Agribank Gia Lai will finance 30% of total investment capital of the project while VDB Thua Thien Hue and VDB Quang Tri will fund 30% of total project investment capital.

VDB Thua Thien Hue - Quang Tri, Agribank Gia Lai and Agribank Thua Thien Hue will negotiate at the time of entering into the credit agreement on a basis consistent with market interest rates and regulations of the State Bank of Vietnam.

Agribank Thua Thien Hue will work closely with co-financing banks and the investor in completing the documents and procedures to sign the credit agreement, with a view to ensuring a timely and sufficient  supply of capital to carry out the project, putting the project into operation soon and exploit it on schedule.