Singapore Company Will Hand $300m Power Plant To Myanmar Government in 22 Years

The Singapore-listed energy company Sembcorp has signed a build-operate-transfer agreement with the Ministry of Elec­tricity and Energy for a 225-megawatt gas-fired power plant in Myingyan, near Mandalay.
The signing “represents a key milestone” for the $300 million project, the company said in a state­ment.
Under the deal, the Sembcorp Myingyan Power Company will op­erate the plant for 22 years before the government takes ownership.
Semcorp’s Executive Vice President, Tan Cheng Guan, signed the deal with U Htein Lwin, Permanent Secretary at the Ministry of Electricity and Energy on January 18th, the state­ment added.
Last March the company signed a long-term power purchase agreement with the government to sell the plant’s entire output to the Electric Power Gen­eration Enterprise, an en­tity under the Ministry of Electricity.
The plant, which is due to go into operation next year, will be one of My­anmar’s largest gas-fired stations and will “help to play a key role in meeting the country’s growing de­mand for electricity,” the company said.
“We thank the govern­ment of Myanmar for its support, and we are en­couraged by its commit­ment to accelerate infra­structure development in the country,” said Sembcorp Group President & CEO Tang Kin Fei.
“We are confident that we will be able to deliver this facility on time. This will help to meet the grow­ing need for power particu­larly in Mandalay, support the nation’s progress and improve the quality of life for the Myanmar people,” the CEO added.
Sembcorp employs 7,000 people and oper­ates facilities around the world. Its power facilities have a total capacity of 10,000 megawatts. The company also supplies water solutions to local governments and indus­trial projects and works in urban development and marine engineering.
Source: Myanmar Business Today

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