Page 16 - GLNG Week 31

GLNG ASIA GLNG

Bangladeshi LNG-fired power

plant secures loan

INVESTMENT JAPANESE energy giant JERA and India’s Reli- Global engineering solutions provider GE
ance Power have secured a $642mn loan for their announced on July 30 that the project’s engi-
planned LNG-fired thermal power plant (TPP) neering, procurement and construction (EPC)
in Bangladesh. contractor, Samsung C&T, had opted to use its
JERA said on July 31 that the loan, which advanced gas path (AGP) technology.
has come from a group of banks led by Japan While two GE 9F gas turbines, one GE D11
Bank for International Cooperation (JBIC), steam turbine and three H53 generators were
represented the project’s final major contract slated to be installed at the plant, GE said that
and that the pair would now focus on full-scale following the AGP contract would involve two
construction. JERA said it aimed to begin com- GE 9F.03 gas turbines upgrades, steam turbine
mercial operations at the 745-MW power plant refurbishment, control upgrades and parts sup- Bangladesh is
in 2022. ply. GE said the plant would be able to generate
The banking consortium also includes the enough electricity to supply more than 850,000 boosting its
Asian Development Bank (ADB) and Japanese homes when finished.
banks Mizuho Bank, Sumitomo Mitsui Banking The upgrade is expected to boost power out- consumption of
and MUFG. Japan’s public sector Nippon Export put by up to 6.7%, heat by up to 3.3% and effi-
and Investment Insurance will guarantee pri- ciency by up to 2%. Moreover, the technology LNG, after soaring
vate-sector loans as well as JERA’s stake in the should enhance the plant’s operational flexibil- residential and
project. ity and extend its maintenance interval by up to
“We are delighted to achieve financing tie-up 32,000 hours. power sector
for this landmark project, which is the largest The CEO of Reliance Bangladesh LNG &
foreign direct investment [FDI] and the largest Power, the joint venture set up to develop the demand for
IPP [independent power producer] in Bangla- TPP, Ranjan Lohar, said: “The project will give
desh, with a consortium of banks led by JBIC. It tremendous boost to the economic and indus- gas outpaced
represents one of the largest funding tie-ups for trial growth of Bangladesh and help to enhance domestic
a project in Bangladesh’s power sector,” Reliance the energy supply with clean and reliable LNG-
Power chairman Anil Ambani said. based power.” production
The TPP – being developed under a build, Bangladesh is boosting its consumption of
own and operate (BOO) model – will be LNG, after soaring residential and power sector capacity.
located about 40 km south-east of Dhaka in the demand for gas outpaced domestic production
Naranganj District. The plant will sell its power capacity several years ago. The emergence of sup-
output under a 22-year supply contract with ply shortages has led to rolling blackouts, which
Bangladesh Power Development Board (BPDB). have dragged on economic growth.™

P16 www. NEWSBASE .com Week 31 07•August•2020