Doosan Heavy Industries & Construction and Korea Western Power are to cooperate on the development of the 728MW Phou Ngoy hydropower plant in Laos.
The Thailand-based developer Charoen Energy and Water Asia (CEWA) had initially signed the deal with the Laos government to develop the Phou Ngoy project and since then, has been jointly executing the project with Korea Western Power. A tri-party investment agreement was entered into with Korea Overseas Infrastructure & Urban Development Corporation(KIND) in August this year.
After signing an MoU, Korea Western Power and Doosan will jointly pursue development of the plant and cooperate on the local manufacturing of key equipment, as well as development of sales routes to promote exporting of the products.
Phou Ngoy will be built in Pakse in the Southern Laos province of Champasak. The project is valued to be about US$2.4 billion and will be executed using the BOT( Build-Operate-Transfer) approach. This is to be an EPC project, with Doosan handling the supply of main equipment and the construction work.
Starting in January next year, Korea Western Power and Doosan will jointly conduct a site survey, after which basic engineering will be carried out for the project. The plant construction will start in 2022 and be completed by 2029.
Song Jae-sup (left), head of the Planning and Management Division at Korea Western Power and Park In-won, head of the Plant EPC BG at Doosan Heavy Industries & Construction