PPA signed for 3.2 GW LNG-to-Power (LNG2P) project in Vietnam

Delta Offshore Energy (DOE) and the Vietnamese Government have signed a Power Purchase Agreement for 3.2 GW Bac Lieu LNG-to-Power (LNG2P) project. The PPA is a 25-year contract under which Vietnam will purchase electricity from Bac Lieu, with a lifetime value of approximately US$50 billion.

Bac Lieu LNG-to-Power (LNG2P) project is the first 100-percent privately funded major project in Vietnam, it will create a 3.2-GW power generation facility with an LNG receiving terminal, a regasification plant, a pipeline, and all associated infrastructure on and offshore, which will be built in the Mekong Delta province of Bac Lieu. By the end of 2020, the project had reached over 95% of its milestones to completion. 

International contractors McDermott completed the front-end engineering design (FEED) of the pipeline that will transport the gas from the regasification terminal to the power plant.

Ian Nguyen, Managing Director of DOE based in Hanoi, Vietnam, said: “The Bac Lieu LNG-to-Power plant will enable the clean industrialization of Bac Lieu province, which in turn will help the Government eradicate poverty and elevate the lives of the people of the region. All stakeholders are aligned and committed to the goal of delivering reliable and affordable clean energy to Vietnam. It is a shining example of international collaboration, and will help Vietnam leapfrog in its socio-economic development to become a truly globalized economy of the future.”