The Asian Development Bank (ADB) and Monsoon Wind Power Company Limited (Monsoon) signed a $ 692.55 million nonrecourse project financing package to build a 600-megawatt wind power plant in Sekong and Attapeu provinces in the southern region of Laos to export and sell power to neighboring Viet Nam.
Comprising 133 wind turbines, the project will be the largest wind power plant in Southeast Asia and the first in Laos.
As sole mandated lead arranger and bookrunner, ADB has, arranged, structured, and syndicated the entire financing package—the largest syndicated renewable project financing transaction among ASEAN countries to date.
The package comprises a $100 million A loan from ADB’s ordinary capital resources, a $150 million syndicated B loan, $50 million in concessional financing, $382.55 million in parallel loans, and a $10 million grant.
The financing from ADB and its partners will help unlock the Lao PDR’s untapped wind resources, providing a basis for a transition to clean energy and green growth that will have lasting benefits for the economy, said ADB Private Sector Operations Department Director General Suzanne Gaboury.
Cross-border power supply has been a pillar of the Lao PDR’s economic growth. The project will reduce annual greenhouse gas emissions by at least 748,867 tons of carbon dioxide equivalent. (TNA)
