AES will begin construction at its planned 1200MW Mong Duong II coal-fired power plant in Quang Ninh Province, Vietnam. The company received the USD 1.5 million loan from 12 commercial banks and two Korean Government export credit agencies to construct the USD 1.95 billion plant. AES holds 51% equity in the plant while PSC Energy Global and Stable Investment will own 30% and 19% interest respectively. Doosan Heavy Industries and Construction and its affiliates will act as the engineering, procurement, and construction contractor, and Vietnam National Coal-Mineral Industries Group will supply locally sourced fuel to the facility, following a 25-year coal supply agreement. The project is expected to begin commercial operations by the second half of 2015 and will sell electricity to Vietnam Electricity, under the terms of a 25-year power purchase agreement.
