Summary Sheet Thai Binh 2 Coal-Fired Power Plant

Thai Binh 2 Coal-Fired Power Plant

Summary Sheet Thai Binh 2 Coal-Fired Power Plant

Overview Main Parameters

Purpose: Power supply to large area in the North, including Thai Binh, Hai Phong, Hai Duong, Bac Ninh, Hanoi etc., contributing to stable and sustainable national network. Location: My Loc commune, Thai Thuy district, Thai Binh province, Vietnam Owner: Petrovietnam Shareholders structure: PVN: 100% Investment Capital: US$ 1,656 million. Project life: 30 years Capacity: 1200 MW (2 units of 600 MW) Maximum foreign equity ownership: 71%. Financing source: PVN, Sojitz

Total area: 254.22 ha Unit configuration: 01 PC boiler + 01 turbine + 01 generator Technology: Sub-critical technology Sales volume: 7.2 billion kWh/year Tmax: 6,500h Design of the plant: 30 years Fuel rate consumption: Domestic coal: around 2,980,000 tons/year and Oil consumption: around 15,600 tons/year. Grid connection: Via 220kV switchyard to the National Grid Main transformer: 220/21kV, tap changer (10x1.25%), neutral earthed, outdoor, 2-windings, 3 phase, 750 MVA
Incentives

Economic Efficiency

NPV: US$ 301.8 million IRR: 12%

Payback Period:16 years Tariff: US Cent 5.7/kWh

Tax exemption on imported goods CIT rate of 15%/year applied in 12 years from starting commercial operation (in comparision to 25% of standard CIT) Tax exemption in the first 4 years since starting taxable earnings and applied 5% in the following 9 years and 10% in the next 2 years. Low land-clearance cost.

Schedule

Milestone EPC Contract COD Unit 1 COD Unit 2

Duration March 2011 - Dec 2014 June 2014 Dec 2014

Current Status

Competiveness

1. Completed works EPC contractor selection Detail technical design (FEED) Land clearance and settlement Compensation Water and electric for construction 2. On-going works Coal supply agreement PPA negotiation

Conformable with Master Power Plan and socioeconomic plans of Vietnam and the region Ministry of Finance, acting on behalf of the Vietnams Government, will guarantee for overseas financing loans for Petrovietnams participating interest Power supply to not only Thai Binh province but also to the Northern area of Vietnam Reducing losses in transmission lines and improving power quality, ensuring power security of the national grid Coal, oil, limestone, equipment and materials during construction could be transported without difficulties thanks to favorable project location. Equipped with sub-critical technology combined with advanced combustion technology (low NOx), ESP, FGD equipments installed to satisfy environmental requirements and reduce the electricity price. Competitive labour cost