PetroVietnam Energy (PV Energy), a subsidiary of state-owned PetroVietnam, mentioned it has began preliminary operation of the primary of two 812-MW LNG-fired models at its Nhon Trach energy plant, situated in Dong Nai province, close to Ho Chi Minh Metropolis in southern Vietnam.
The mission is a part of the primary energy plant in Vietnam to be constructed particularly to be powered by liquefied pure fuel (LNG). The beginning of Unit 3 at Nhon Trach, introduced by PetroVietnam—often known as Vietnam Oil And Gasoline Group—on Jan. 11, might be adopted by the start-up of Unit 4 over the following 12 months. PetroVietnam in October of final 12 months secured greater than $520 million in financing for growth of the 2 models, which the corporate mentioned will signify an funding of virtually $1.4 billion.
Nhon Trach 3, which officers mentioned is about 95% full, is anticipated to enter full industrial operation later this 12 months.
Vietnamese officers mentioned some gas-fired energy vegetation in Vietnam, together with Phu My 3, Phu My 2.1, and Phu My 4, used LNG as gasoline for temporary durations prior to now 12 months.
Energy Buy Settlement
PV Energy in October of final 12 months signed an influence buy settlement with a subsidiary of state utility Vietnam Electrical energy, generally known as EVN, for the output of the Nhon Trach 3 and Nhon Trach 4 energy vegetation. PV Energy and PV Gasoline, one other arm of PetroVietnam, are at the moment negotiating a fuel gross sales settlement for long-term fuel provide for the LNG-fired energy vegetation.
Worldwide banks Citi and ING led the financing for the mission. PetroVietnam Corp. CFO Nguyen Duy Giang mentioned, “We respect Citi and ING’s assist and partnership over the previous few years to safe the $521.5 million mortgage in the direction of the Nhon Trach 3 and 4 energy vegetation. Nhon Trach 3 and 4 … are key nationwide initiatives and can assist meet the rising demand for energy within the nation. The initiatives will open a brand new chapter within the formation and growth of the LNG mission chain in Vietnam.”
“Citi has been working with PV Energy to assist this initiative since 2020 and collectively supplied a $300 million short-term mortgage,” mentioned Pham Huu Hai, Citi Vietnam’s company banking head and Citi Hanoi’s department director mentioned. “This mission is a driving pressure to advertise financial growth and can scale back the ability scarcity within the nation’s industrial hub in South Vietnam.”
The brand new models will use gear from GE Vernova. “GE Vernova’s Monetary Providers performed an important position in securing the aggressive ECA financing for PV Energy and the Nhon Trach 3 and 4 energy vegetation, illustrating our dedication to supporting Vietnam’s vitality safety,” mentioned Marco Appolloni, SVP, GE Vernova’s Monetary Providers enterprise.
One other LNG-Fired Venture Deliberate
A second LNG-fired facility in Vietnam is within the strategy planning stage. Thai Binh LNG Energy, a three way partnership amongst Japan’s Tokyo Gasoline, Kyuden Worldwide Corp., and Vietnam’s Truong Thanh Vietnam Group, has mentioned that its $2 billion LNG Thai Binh energy plant mission in Vietnam’s Thai Binh province ought to full its feasibility research by the center of this 12 months, with development set to start by year-end. Business operation of the Thai Binh station is anticipated by 2030.
Authorities knowledge reveals that gas-fired era accounts for simply lower than 10% of Vietnam’s put in energy era capability. Coal-fired energy vegetation account for about 30% of the nation’s electrical energy manufacturing.
Vietnamese officers have mentioned that the nation plans to construct at the least 15 LNG-fired energy vegetation by 2035 with mixed era capability of greater than 22 GW. Officers mentioned the LNG-fueled services would account for about 15% of the nation’s whole energy era combine.
PetroVietnam, along with the brand new unit at Nhon Trach, manages and operates 4 gas-fired energy vegetation, two coal-fired energy vegetation, and two hydropower vegetation with a complete put in capability of 5,405 MW, in keeping with the corporate. PetroVietnam mentioned its models account for as a lot as 12% of the nation’s electrical energy output.
Vietnam’s longest-operating LNG terminal is situated at Thi Vai. It has a capability of 1 million metric tons per 12 months. A second import facility, the Hai Linh Co. Ltd.’s Cai Mep LNG terminal, is also situated within the southeast province of Ba Ria-Vung Tau. That terminal, which acquired its export-import working license in August of final 12 months, has capability to maneuver 3 million metric tons yearly.
—Darrell Proctor is a senior editor for POWER.
