The initial contract called for excavation of the 3.85km long main headrace tunnel (6.45m-7.7m wide) and a 90m high surge tank (5m-8.6m wide), to be completed by the third quarter of 2010.
The 220MW project is being built at the Vu Gai-Thu Bon river by the village of Phuoc Son, approximately 175km west of Da Nang in the province of Quang Nam.
The developer of the scheme, which has been cited with a total budget of approximately US$250M, is Industrial and Urban Development Corp. The plant is expected to be operational in the first half of 2011.
Just over two years ago the Bank for Agriculture and Rural Development of Vietnam (Agribank) agreed to provide a US$56M loan for the project. The developer is contributing about 20% of the project budget. Other debt finance providers include the Bank of Investment and Development of Vietnam, the PetroVietnam Finance Corp and also some foreign parties.
A series of hydro projects are being developed on the Dak Mi river, including Dak Mi I in which Cavico took on its first developer role.
Cavico has posted income for 2008 up almost 40% to US$2.3M on revenues 53% higher at US$58M. The group had about US$30M of work in progress for the 12 months ended 31 December 2008.
Last year, the company also received an extra US$2.8M in payment for the Bao Loc project to reflect cost inflation plus additional works. The initial works has principally been for tunnels.
Separately, in 2009, other recent contract awards include a US$9.8M job at Song Giang 2, which calls for excavation of a 3.9km long headrace plus associated tunnelling and a 42m high surge tank.
Tunnelling work was also recently awarded for the Theun HinBoun Expansion and Hua Na projects.
