Tender for supply of thermal coal into Vietnam secured
February 16, 2017
Tata International’s Minerals business has successfully secured a prestigious tender for the supply of 1 million MT of Indonesian coal, in collaboration with Franky Consortium, a mining and construction company in Malaysia. This order will be utilised for the commercial phase of operations of VietNam Electricity (EVN), the largest power company in Vietnam.
EVN has an installed electricity generation capacity of 23,579MW and a transmission network of 21,883km (13,597mi). With their new power plant at Duyen Hai, EVN explored the possibility of reducing its cost of power generation with imported coal and tendered out its coal requirements during the commissioning stage of the power plant. The commercial operations are due to start by March 1, 2017.
The contract, signed on February 7, 2017, of approximately USD 62million is considered to be the single largest coal supply contract awarded by any company in Vietnam. This contract will be an important milestone in Tata International’s journey to be a significant player in coal in South Asia and a globally significant player in the Energy business by 2025.