Doosan Heavy Industries and Western Power Sign MOU for Joint Development of Hydropower in Laos

[Asia Economy Reporter Kim Hyewon] Doosan Heavy Industries & Construction announced on the 30th that it has signed an agreement with Korea Western Power to develop the Laos Phu Noi Hydropower Project.

This project is being jointly promoted with Korea Western Power after CEWA (Charoen Energy and Water Asia Co. Ltd), a Thai developer, signed a project development agreement with the Laos government. In August, a tripartite investment agreement was made with the Korea Infrastructure & Urban Development Corporation (KIND).

Through this agreement, Doosan Heavy Industries & Construction will jointly develop the Laos Phu Noi hydropower project with Korea Western Power and cooperate in the localization of key equipment in the hydropower sector and the development of export channels.

At the MOU signing ceremony for the Laos hydropower project held on the 30th at Doosan Heavy Industries & Construction's Seoul office, Song Jae-seop, Head of Planning and Management at Korea Western Power (left), and Park In-won, Head of Plant EPC BG at Doosan Heavy Industries & Construction, are posing for a commemorative photo after signing the agreement.

The Phu Noi Hydropower Plant will be built in Pakse City, Champasak Province, southern Laos, with a capacity of 728MW. It is a BOT (Build-Operate-Transfer) project, where the contractor finances, constructs, and operates the facility for a certain period. The total project cost is approximately 2.4 billion USD.

Doosan Heavy Industries & Construction plans to carry out the project under an EPC (Engineering, Procurement, and Construction) contract, responsible for supplying major equipment and construction. After a joint site survey by both companies in January next year, basic design will be conducted, construction will begin in 2022, and completion is scheduled for 2029.

Park Inwon, Head of Plant EPC BG at Doosan Heavy Industries & Construction, said, "Recently, results have been emerging not only in hydropower but also in eco-friendly energy businesses such as wind power and hydrogen that Doosan Heavy Industries & Construction is promoting. As opportunities for domestic and overseas hydropower projects are expected to expand, we will accelerate the localization of key equipment and design and take the lead in revitalizing related domestic industries."

Doosan Heavy Industries & Construction is actively expanding its eco-friendly hydropower business. In October, it signed a contract worth 410 billion KRW with Korea South-East Power for the Nepal Upper Trishuli-1 Hydropower Plant and plans to participate in hydropower projects in Pakistan. In November, it signed an agreement with Korea Midland Power to enter the overseas hydropower market.

In September last year, Doosan Heavy Industries & Construction signed a business and technology cooperation agreement with Andritz, a global leader in hydropower based in Austria, laying the foundation for independent hydropower design technology. It is also promoting the localization of 30MW-class turbines and generators for hydropower in cooperation with Korea Hydro & Nuclear Power to expand domestic and overseas hydropower projects.

This content was produced with the assistance of AI translation services.