Inter RAO, IIB build Quang Trach 2 power plant project

LLC Eastern Energy Company, a wholly owned subsidiary of Inter RAO UES, and the International Investment Bank (IIB) have signed a memorandum on the construction of the 1.2 GW Quang Trach 2 coal-fired thermal power plant in Vietnam at a preliminary cost of $2 billion. The IIB is prepared to invest up to $100 million of its own resources in the project and to raise similar amounts by way of "sectoral" syndications. The bank thinks the project will be interesting for its partners, including Vietnamese banks, representatives of the financial sector of the European territory of IIB, as well as for the international development institutions. The IIB's overall contribution to the project as financial partner might $300 million-$400 million.