PetroVietnam Power Corporation (PV Power) and OceanBank, two subsidiaries of the Viet Nam Oil and Gas Group, signed a contract on May 05 with HSBC Bank Viet Nam to provide capital for the Phu Quy Wind Power Plant project in central Binh Thuan Province.
Under the agreement, OceanBank will mediate agreements between PV Power and HSBC Bank Viet Nam. The total investment of the plant is VND400 billion (US$19 million).
An OceanBank official said that the plant had been partially built, but because of a shortage of funding, PV Power and OceanBank chose HSBC Bank Viet Nam as a partner to provide capital for the project.
She added that the three parties wanted the project to be finished this year.
"HSBC Bank Viet Nam will provide sufficient capital at reasonable interest rates during the construction of the plant," she said.
While the project will bring obvious economic benefits to the country, it will also have an social impact by providing more power to the energy strapped country.
Three new wind turbines were included in the project to link with the existing diesel generators at Phu Quy island. Residents on the island now mainly use diesel generator systems with a total capacity of 4,000kw.
Phu Quy island is a convenient place for seafood processing. With more energy resources on the island, businesses would be able to increase productivity and the quality of their products.