Project ID: 35236

China Eximbank provides $300 million preferential buyer's credit loan for 1244MW Vinh Tan 2 Coal-Fired Power Plant Construction Project (Linked to Project ID#65949, #65950)

Commitment amount

$ 417818080.7388721

Adjusted commitment amount

$ 417818080.74

Constant 2021 USD

Summary

Funding agency [Type]

Export-Import Bank of China (China Eximbank) [State-owned Policy Bank]

Recipient

Vietnam

Sector

Energy (Code: 230)

Flow type

Loan

Level of public liability

Other public sector debt

Infrastructure

Yes

Category

Intent

Mixed (The next section lists the possible statuses.)

Commercial

Development

Representational

Mixed

Financial Flow Classification

OOF-like (The next section lists the possible statuses.)

Official Development Assistance

Other Official Flows

Vague (Official Finance)

Flows categorized based on OECD-DAC guidelines

Project lifecycle

Status

Completion (The next section lists the possible statuses.)

Pledge

Commitment

Implementation

Completion

Suspended

Cancelled

Milestones

Commitment

2010-12-17

Actual start

2010-08-08

Actual complete

2015-03-21

Geography

Description

On September 7, 2009, China Eximbank and the Vietnam Ministry of Finance signed preferential buyer's credit (PBC) loan framework agreement for the the 1244MW Vinh Tan 2 Coal-Fired Power Plant Construction Project. Then, on December 17, 2010, China Eximbank and Vietnam Electricity (EVN) — a state-owned power company — signed three loan agreements for this project: (1) RMB 600 million government concessional loan (GCL) agreement with a 17-year maturity (captured via Project ID#65949). This loan matures in 2027. (2) $300 million preferential buyer’s credit (PBC) agreement with a 17-year maturity (captured via Project ID#35236). This loan matures in 2027. (3) $695 million buyer’s credit loan (BCL) agreement with an 18-year maturity (captured via Project ID#65950). This loan matures in 2028. The proceeds of these loans were on-lent by EVN — via 3 separate loans: 04/HĐCVL/EXIMBANK-EVN-G3 (KV 01), 04/HĐCVL/EXIMBANK-EVN-G3 (KV 02), and 04/HĐCVL/EXIMBANK-EVN-G3 (KV 03) — to Power Generation Corporation 3 (EVNGENCO 3), a wholly owned subsidiary of EVN. The proceeds from these three loans were to be used by the ultimate borrower to cover 85% of the cost ($1.08 billion) of a $1.265 billion EPC contract signed on October 23, 2009 between EVN and Shanghai Electric Group Company Limited. EVN provided counterpart financing for the remaining 15%. The purpose of the project was to construct a 1244MW coal-fired power plant — with two, 622MW power generation units (Unit 1 and Unit 2) — in Bắc Lũng commune, Lục Nam district, and Bắc Giang province. Shanghai Electric Group Company Limited was the EPC contractor responsible for implementation. Power Construction Consulting Joint Stock Company 2 (PECC2) was the contractor responsible for construction supervision. Construction began on August 8, 2010. Units 1 and 2 were put into operation of commercial operation on January 30, 2015 and March 21, 2015, respectively. A formal project completion ceremony took place on November 7, 2020.

Additional details

1. This project is also known as the 2x622MW Vinh Tan 2 Thermal Power Plant Project, the Vinh Tan 2 Coal-Fired Thermal Power Plant Project, or the Vinh Tan II Coal-Fired Thermal Power Plant Project. The Chinese project title is 署越南永新火电项目 or 越南永新燃煤电厂二期项目. The Vietnamese project title is Nhà máy Nhiệt điện Vĩnh Tân 2 or Dự án Nhà máy nhiệt điện Vĩnh Tân 2 or NMNĐ Vĩnh Tân 2. 2. Neither the RMB 600 million China Eximbank GCL nor the $695 million China Eximbank BCL that supported this project are included in the Overseas Development Finance Dataset that Boston University’s Global Development Policy Center published in December 2020.

Number of official sources

19

Number of total sources

30

Download the dataset

Details

Cofinanced

No

Direct receiving agencies [Type]

Vietnam Electricity (EVN) [State-owned Company]

Indirect receiving agencies [Type]

Power Generation Corporation 3 (EVNGENCO 3) [State-owned Company]

Implementing agencies [Type]

Shanghai Electric Group Co., Ltd. [State-owned Company]

Loan Details

Maturity

17 years

Bilateral loan

Export buyer's credit

Investment project loan

Preferential Buyer's Credit