China Eximbank provides $296.6 million preferential buyer's credit for Phase I of the 600MW Cam Pha Coal-Fired Power Plant Construction Project

On August 22, 2006, China Eximbank and Vietnam National Coal and Mineral Industries Group (Vinacomin) — a Vietnamese state-owned enterprise — signed a $296,621,950 preferential buyer's credit (PBC) agreement for Phase I of the 600MW Cam Pha Coal-Fired Power Plant Construction Project. The borrowing terms are unknown. The Government of Vietnam issued a sovereign guarantee in support of the loan on September 14, 2007 and Sinosure also provided insurance. The proceeds of the loan were to be used by the borrower to finance 85% of a $348,967,000 EPC contract signed on March 21, 2006 with Harbin Electric International Engineering Co. The purpose of the project was to construct a 600MW coal-fired power plant — with two, 300MW power generation units (Unit 1 and Unit 1) — in Cửa Ông commune, Cẩm Phả district, Quảng Ninh province. Construction began in April 2006 and there were 2 parts to the power plants (Cam Pha 1 and Cam Pha 2). On September 15, 2011, Harbin International Power Engineering officially handed over the 2 plants to Vinacomin. Electricity Vietnam (EVN), a government-owned electricity utility, signed a contract to buy the Cẩm Phả plant's output for 25 years. In November 2016, a major fire caused serious damage to the plant. No injuries were reported.

Additional details

1. This project is also known as the 2x300MW Cẩm Phả 1 Power Plant Project and the Cẩm Phả 1 Power Plant Project. The Chinese project title is 锦普火电厂隆重举 or 锦普火电厂一期30万千瓦燃煤电站项目. The Vietnamese project title is dự án nhiệt điện Cẩm Phả 1 or Nhiệt điện Cẩm Phả. 2. The China Eximbank loan that supported this project is not included in the Overseas Development Finance Dataset that Boston University’s Global Development Policy Center published in December 2020. 3. Vinacomin may have on-lent the proceeds of the loan from China Eximbank to a project company called Cam Pha Thermo Power Joint Stock Company (Công ty Cổ phần Nhiệt điện Cẩm Phả). However, this issue requires further investigation. Cam Pha Thermo Power Joint Stock Company is majority-owned (51%) by Vinacomin.

Number of official sources

18

Number of total sources

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