The Vietnam National Oil and Gas Group, or PetroVietnam, has received a loan worth US$95 million to build the Vung Ang Thermal Power Plant No 1 in Ha Tinh province under a credit contract signed with two Japan-based banks on August 11.
The lenders include the Japanese Bank for International Corporation and the Sumitomo Mitsuit Banking Cooperation.
The 1,200-megawatt power plant, including two turbines and to be built in Ky Loi commune of Ky Anh district, is expected to start generating power between July 2012 and January 2013.
When fully operational, the plant will contribute 6.64 billion kWh to the national grid per year, helping ease national power shortages.
The US$ 1.6 billion plant is part of a Government electricity plan approved by the Prime Minister in 2007.
During April this year, a consortium of five foreign banks agreed to provide a US$904 million loan towards the project. The consortium included HSBC, the China Development Bank, the Bank of Tokyo-Mitsubishi UFJ, Credit Suisse and Italy's Intesa SanPaolo.
