China Eximbank provides $127 million concessional loan for 60MW Nam Khan 3 Hydropower Plant Project
Commitment amount
$ 149113691.8565823
Adjusted commitment amount
$ 149113691.86
Constant 2021 USD
Summary
Funding agency [Type]
Export-Import Bank of China (China Eximbank) [State-owned Policy Bank]
Recipient
Laos
Sector
Energy (Code: 230)
Flow type
Loan
Level of public liability
Central government debt
Infrastructure
Yes
Category
Project lifecycle
Geography
Description
On October 13, 2006, the Chinese Government and the Government of Laos signed a Memorandum of Understanding (MOU) regarding the Nam Khan 2 & 3 hydropower plants. Then, in 2012, China Eximbank and the Government of Laos signed a $127 million concessional loan agreement for the 60MW Nam Khan 3 Hydropower Plant Project. The borrowing terms of the loan are unknown. The proceeds of the loan were to be used by the borrower to finance a commercial (EPC) contract that Sinohydro Corporation Ltd. and Électricité du Laos (EDL) signed on February 8, 2012. The purpose of the project was to construct a dam and hydroelectric power plant with installed capacity of 60MW and the ability to generate 241 million kWH of electricity per year. The project is located is located 60 km upstream from Nam Khan 2 Dam and between Ban Donmoh district, Ban Khonwai district, and Xieng Ngeun district within Luang Prabang Province. Sinohydro Corporation Ltd. was the EPC contractor responsible for implementation. The project officially commenced in December 2012. Dam closure occurred on November 3, 2013. Impoundment took place on January 17, 2016 and the dam gates were closed for water storage on March 4, 2016. The first power generation unit successfully generated electricity on April 24, 2016. Then, on May 30, 2016, the rotor of the second power generation unit was hoisted into position and installation work commenced. The project was completed and the power plant became became fully operational in 2017.
Additional details
1. This project is also known as the Nam Khan 3 Hydropower Plant Project or the Nam Khan 3 HPP. 2. The Chinese project title is 琅勃拉邦南坎3号水电站 or 老挝南坎3号水电站 or 老挝南康3水电站项目 or 老挝南康3水电站项目. 3. The exact calendar date of the loan agreement signing is unknown. Also, some sources suggest that the monetary value of the EPC contract was $163.3 million and others suggest it was $127 million or $132 million. This issue merits further investigation.
Number of official sources
16
Number of total sources
29
Details
Cofinanced
No
Direct receiving agencies [Type]
Government of Laos [Government Agency]
Implementing agencies [Type]
SinoHydro [State-owned Company]
Électricité du Laos (EDL) [State-owned Company]