Japanese banks will loan Electricity of Viet Nam (EVN) more than US$338.2 million to build the Vinh Tan 4 thermal power plant in the central province of Binh Thuan.
The contract was signed in Ha Noi yesterday.
More than $202.9 million of the 17-year loan comes from the Japan Bank of International Co-operation, while the rest comes from the Bank of Tokyo-Mitsubishi.
The construction of the two-turbine 1,200 MW plant, invested by the EVN Power Generation Company 3, was started on March 9 this year.
The plant has a total investment of $1.8 billion and will generate about 7.2 billion kWh per year once fully operational in the third quarter of 2018. Its first turbine is slated to go into operation in the fourth quarter of 2017.
Vinh Tan 4, together with three other plants, forms the Vinh Tan Power Centre – the country's largest coal-fired power station with a combined capacity of 5,600 MW.
The centre's operation will mainly serve the southern central and southern regions.
Japan Bank for International Cooperation (JBIC) is a policy-based financial institution wholly owned by the Government of Japan. From October 2008, JBIC has no longer provided ODA loan facilities, which have been merged into the Japan International Co-operation Agency (JICA).