Thailand’s energy company Banpu to buy 50 MW of solar parks in Vietnam

Construction News Vietnam
Solar panels. Featured Image: Jackiso/

Thailand’s energy company Banpu to buy 50 MW of solar parks in Vietnam

Thai energy company Banpu PCL (BKK:BANPU) today said it has agreed to acquire the companies holding a 50-MW portfolio of two solar parks in Vietnam in a deal worth USD 26.7 million (EUR 23.6m).

The bundle includes the 15-MW Chu Ngoc solar park in Gia Lai province in the Central Highlands of Vietnam, and the 35-MW Nhon Hai photovoltaic (PV) farm in the southeastern Ninh Thuan province.

Both plants receive feed-in tariffs (FiTs) of USD 0.0935/kWh and have in place 20-year power purchase agreements (PPAs) with utility Vietnam Electricity (EVN). The smaller one was brought online in June 2019, while the 35-MW park has been generating electricity since July 2020.

According to the agreement, the assets will be purchased by BRE Singapore Pte Ltd, a subsidiary of Banpu Next Co Ltd that is equally-owned by Banpu and Banpu Power Public Co Ltd. The buyer will take possession of the two project vehicles – Licogi 16 Gia Lai Investment Renewable Energy and Licogi 16 Ninh Thuan Investment Renewable Energy.

The transaction is subject to certain adjustments and customary approvals and is due to be completed in the second quarter of the year.

The deal comes on the heels of Banpu’s agreement from December last year to buy the 50-MW Ha Tinh solar farm in Vietnam’s Ha Tinh province for USD 23.9 million. The Bangkok-based company then said the acquisition would be finalised in the first quarter of 2022.

(USD 1.0 = EUR 0.883)