Description

The Nam Ngum 3 Hydropower Project (NN3) is a 440-megawatt (MW) hydropower plant that will be located on the Nam Ngum River, a tributary of the Mekong River in the Lao People s Democratic Republic (Lao PDR), 130 kilometers from the capital city of Vientiane and 260 km upstream of the confluence with the Mekong River. The power generated by the project will be sold to Thailand under a power purchase agreement (PPA) with the Electricity Generating Authority of Thailand (EGAT). Nam Ngum 3 Power Company (NN3PC) will build, own, and run the hydropower plant for a 27-year concession period. NN3PC is owned by GMS Lao Company, a subsidiary of GMS Power of Thailand (27%); Ratchaburi Electric Generating Holding PCL of Thailand (25%); Axia Power, a wholly owned subsidiary of Marubeni Corporation of Japan (25%); and The Lao Holding State Enterprise (LHSE) of the Lao PDR (23%). Under 40906-014: Nam Ngum 3 Hydropower Project, ADB will provide private sector (nonsovereign) financing for the construction of a 220-meter-high concrete-faced rock-fill dam, an underground power station, a gated spillway to release water from the dam, an underground 10.6-km headrace tunnel to channel water from the reservoir to the power station, and a 99-km 500-kV transmission line. ADB will lend up to $350 million to NN3PC. Under a risk participation agreement, commercial banks will assume the risk on up to $150 million of that. Thai banks and other international financial institutions will also provide loans to the project. ADB is also lending approximately $115 million to the Lao PDR government to finance LHSE s equity stake in NN3PC and for the development of dedicated transmission facilities, which will be needed to export electricity to Thailand. Read More

Related News

Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

The Public Communications Policy (PCP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.

The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.

In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.

SEARCH/BROWSE PROJECTS