HA NOI — China’s Harbin Electricity company signed a US$348 million contract to build the first phase of a 600MW coal-fired power station at Cam Pha, in Quang Ninh Province about 175km north-east of Ha Noi, yesterday.

Design capacity of the first phase is 300MW from two groups of turbines.

These are expected to generate 1.8 billion kWh each year from coal supplied from the nearby Cua Ong mine.

The first phase will be done in 10 packages with bids for seven already settled.

China’s Import-Export Bank will provide 85 per cent of the money with work scheduled to begin before June and completed during 2009.

The construction contract is with the Cam Pha thermo power joint-stock company and the first phase was approved by Prime Minister Phan Van Khai in 2003.

It is one of 14 urgent electricity projects listed for completition between now and 2010.

The plant would help minimise pollution in Quang Ninh Province - home of the World Heritage listed Ha Long Bay - as well as supplement the country’s source of energy, Viet Nam Coal and Minerals Group president Nguyen Van Long said at the signing of the contract. — VNS