Page 13 - AsiaElec Week 22

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NEWS IN BRIEF
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to increase its power generation capacity, underpinning economic growth not only for Bac Lieu and the Mekong Delta, but all of southern Vietnam.
The 3,200-megawatt (MW) project is being developed by Singapore’s Delta Offshore Energy (DOE), which is negotiating a 25-year power purchase agreement with state-owned power utility Vietnam Electricity (EVN).
However, the project might have to look elsewhere for its LNG as DOE’s provider recently went into adminstration, bringing into doubt whether it will press ahead with its plans to build its Magnolia LNG export terminal near Lake Charles, Louisiana. DOE has been negotiating a binding long-term purchase agreement for LNG exported from the Magnolia terminal.
In late May, DOE joined a government working meeting in Bac Lieu province,
with a delegation of national stakeholder representatives from Hanoi led by Hoang Quoc Vuong, vice minister of Industry and Trade and vice chairman of the National Steering Committee on Energy Development.
The purpose of the meeting was to discuss the project timelines, with a particular focus on completing the power purchase agreement (PPA), including its grid interconnections, by the end of this year. DOE says in a statement that it has presented updates and progress
of the project and stressed the urgency of concluding the PPA discussions immediately to facilitate its signing by October.
The meeting concluded with the participants agreeing to fast-track key approvals and agreements of the concession.
The Government of Vietnam has requested that DOE submit its proposed PPA heads of terms agreement as soon as possible. This fast-track pilot model allows DOE to begin discussions directly with EVN.
HYDRO
Chinese to build Pakistan’s Kohala power project
A tripartite agreement has been finalised between China Three Gorges Corporation, the government of Azad Jammu and Kashmir (AJK) and Private Power and Infrastructure Board (PPIB) for implementing the 1,124-megawatt Kohala hydroelectric power project in AJK under the China-Pakistan Economic Corridor (CPEC) framework.
The project is aimed at annually providing more than five billion units of clean and low- cost electricity for consumers in Pakistan and AJK. This marks one of the largest investments
of $2.4bn in an independent power producer (IPP) in Pakistan and AJK.
Furthermore, another hydroelectric power project – the 102MW Gulpur project – located at Poonch River, Kotli district of AJK met
the commercial operation date on March 10, 2020.
Federal Minister for Power Omar Ayub Khan, while chairing the 127th meeting
of PPIB, lauded the infrastructure board for playing a crucial role in optimising hydroelectric power generation.
The minister said the government was determined to ensure long-term energy sustainability and reliability for which renewable energy, hydroelectric power and indigenous coal-based projects were being prioritised.
PPIB Managing Director Shah Jahan
Mirza briefed PPIB on the status of upcoming IPPs, explaining that various projects
may experience delay in achieving critical milestones primarily due to Covid-19 and project sponsors were requesting support from PPIB in combating the situation. The board, while considering the intensity of the matter, allowed extension in the validity of Letter of Support/ financial close date for the 1,124MW Kohala hydroelectric power project.
WIND
Infigen Energy gets $535mn bid from UAC Energy
Australian renewable power group Infigen Energy has received a takeover offer from a group backed by the Philippines’ Ayala Corp. valuing the company at AUD777mn ($535mn).
The AUD0.80-per-share bid from UAC Energy Holdings Pty is at a 36% premium
to Infigen’s closing price on Tuesday. UAC, which is 75% controlled by Ayala, has already acquired a 12.8% interest in Infigen. The takeover would be subject to approval by Australia’s Foreign Investment Review Board, Bloomberg reported.
“We have ready access to capital and significant renewable energy expertise that will position us well to support Infigen’s pipeline of projects,” UAC’s Chairman Anton Rohner said in a statement. UAC already owns a suite of renewable assets in Australia and said its move had the support of Infigen security-holders. Infigen has yet to respond to the offer.
Sydney-based Infigen has one of the largest fleet of wind assets in Australia. It also owns
a gas peaking plant in New South Wales and
a 25-megawatt big battery at Lake Bonney in
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