Southeast Asia's largest wind project secures USD 692m in financing

Japanese trading major Mitsubishi Corporation (TYO:8058), or MC, announced on Monday that a sponsor group led by it has obtained a financing package for what is expected to become the largest onshore wind farm in Southeast Asia with 600 MW of capacity.

More specifically, the group comprising MC’s fully-owned unit Diamond Generating Asia Ltd, as well as ACEN Renewables International Pte Ltd, Impact Electron Siam Co Ltd, STP&I PCL, BCPG PCL and SMP Consultation Sole Co Ltd, has signed a USD-692-million (EUR 553m) financing deal for the Monsoon cross-border wind project in Laos.

The funds will come from the Asian Development Bank, Japan International Cooperation Agency, Sumitomo Mitsui Banking Corporation, and other lenders.

The Monsoon wind farm will be built in the Sekong and Attapeu provinces of Laos, but will be selling its output to Vietnam’s state-owned electric power company Vietnam Electricity under a 25-year contract. This makes it the first cross-border renewable energy project in the ASEAN region. The governments of the two countries have committed to transmitting 5 GW of electricity from Laos to Vietnam by 2030.

Construction work on Monsoon is seen to begin this year and to be finalised in 2025.

(USD 1.0 = EUR 0.922)

Choose your newsletter by Renewables Now. Join for free!