Project ID: 35270

China Eximbank, Bank of China, China Construction Bank, and China Communications Bank provide $143 million syndicated buyer’s credit loan for 100MW An Khanh 1 Coal-Fired Power Plant Construction Project

Commitment amount

$ 152784074.4

Constant 2017 USD

Summary

Funding agency [Type]

Bank of China (BOC) [State-owned Commercial Bank]; China Bank of Communications (BoCom or BoComm) [State-owned Commercial Bank]; China Construction Bank Corporation (CCB) [State-owned Commercial Bank]; Export-Import Bank of China [State-owned Policy Bank]

Recipient

Viet Nam

Sector

Energy (Code: 230)

Flow type

Export Buyer's Credit

Concessional

Vague

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

Implementation

2010

2010-01-30

Actual start

Commitment year

2011

Completion

2015

2015-10-01

Actual

NOTE: This project began implementation and then later secured financing from a Chinese funding agency to continue project implementation

Geography

Description

On December 22, 2011, four Chinese state-owned banks and An Khanh Thermal Power Joint Stock Company— a project company and special purpose vehicle (SPV)— signed a $143,055,000 USD syndicated buyer’s credit loan agreement for the 100MW An Khanh 1 Coal-Fired Power Plant Construction Project (see '搭上“丝路快车”,与浙商一起飞【浙江日报】' and 'Quá trình thành lập & phát triển Tập đoàn An Khánh'). The Zhejiang Branch of the Bank of China (BOC, China Construction Bank, the Export-Import Bank of China Eximbank, and China's Bank of Communications each contributed approximately $35.75 million USD to the syndicated loan (see JICA 2017 report, p. 10). The borrowing terms include a 13-year maturity and 3-year grace period (see 'Ngân hàng TW Trung Quốc - Bank of China giải ngân kịp thời khoản tín dụng cho Dự án nhiệt điện An Khánh 1'). The interest rate is unknown. The first loan disbursement equal to $39,355,000 did not occur until January 5, 2013 and the entire $143,055,000 was disbursed as of May 10, 2015. In December 2011, the Bank for Investment and Development of Vietnam (BIDV) also provided a $25 million loan to this project.The syndicated loan proceeds were to be used to partially finance a $168.3 million EPC contract signed in June 2010 with People Electrical Appliance Group (PEOPLE) (see '搭上“丝路快车”,与浙商一起飞【浙江日报】'). This Independent Power Project (IPP) project was financed with 85% debt and 15% ($25 million) equity (see JICA 2017 report, p. 10). The purpose of the project was to construct a 100MW coal-fired power plant — with two, 50MW power generation units (Unit 1 and Unit 2) — in An Khánh commune, Dai Tu district, and Thái Nguyên province. Works officially commenced on January 30, 2010. The power plant was officially inaugurated and connected to the national electricity grid on October 1, 2015.

Additional details

This project is also known as the 2x58MW An Khánh-1 Thermal Power Plant Construction Project. The Vietnamese project title is Nhà máy nhiệt điện An Khánh or Nhiệt điện An Khánh. The Chinese project title is 安庆火电站项目. An Khanh Thermal Power Joint Stock Company is also known as An Khánh Thermo-Power Joint Stock Company or An Khanh Thermal Power JSC or 安庆电力股份有限公司.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.The 2017 JICA report (source #82090) is the only source with a financial breakdown across the four banks (p. 10). It is unclear whether the four banks actually contributed equal amounts of if JICA just assumed this is the case. No Chinese or Vietnamese sources confirmed whether the financial breakdown is even or not so for now all four banks are coded as funding agencies and the umbrella box is not checked.

Number of official sources

14

Number of unofficial sources

13

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Details

Cofinanced

Yes

Cofinancing agencies [Type]

Bank for Investment and Development of Vietnam (BIDV) [State-owned Bank]

Receiving agencies [Type]

An Khanh Thermal Power Joint Stock Company [Joint Venture/Special Purpose Vehicle]

Implementing agencies [Type]

People Electrical Appliance Group (PEOPLE) [State-owned Company]; An Khanh Thermal Power Joint Stock Company [Joint Venture/Special Purpose Vehicle]

Loan type

Some Information

Maturity

13 years

Grace period

3 years

Gurarantee provided

No

Insurance provided

No