Nhon Trach 3 and Nhon Trach 4 power plants, the first LNG-to-power plants in Vietnam and located in the southern province of Dong Nai, are set to connect to the grid later this month.
The site of the Nhon Trach 3 & 4 LNG power plant projects in Nhon Trach district, Dong Nai province, southern Vietnam. Photo courtesy of PetroTimes magazine.
According to Dong Nai's Department of Industry and Trade, the 500 kV Nhon Trach 4 – Phu My – Nha Be power line, one of the four power lines designated for the two power plants, is set to operate on November 15.
The power line has completed all 15 bases and is installing wires.
Construction of the project began in 2021. Nhon Trach 3 is ready to begin commercial operation in April 2025, while Nhon Trach 4 is set for commercial operation in July 2025.
PV Power, a subsidiary of state-owned Petrovietnam, is the main investor of the 1,600 MW Nhon Trach 3 and Nhon Trach 4 plants, with total investment of $1.4 billion.
They are expected to provide nine billion kWh of electricity to the national grid annually, and contribute VND18 trillion ($711.75 million) to the provincial budget annually.
In October, PV Power and EVN Electric Power Trading Company (EVNEPTC), under state utility Vietnam Electricity (EVN), signed a power purchase agreement (PPA) for the power plants.
It was a milestone in facilitating commercial operations of both plants. With no precedents regarding LNG-to-power projects in the country, PPA negotiation was a challenging process, PV Power said.
Signing the PPA will help PV Power reach a gas sale agreement (GSA) soon under its annual commitment to buy LNG and access loans from international bodies.
Source: The Investor