Trung Nam Construction Investment Joint Stock Company (Trungnam Group) and Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank) had a high-level Board of Directors meeting on January 20, 2021, in Ho Chi Minh City. The two units intend to establish an all-inclusive collaboration agreement. A loan contract for the Dong Hai 1 wind power plant project was also signed at the occasion by the Joint Stock Commercial Bank for Foreign Trade of Vietnam Sai Thanh branch (Vietcombank Sai Thanh) and Trung Nam Tra Vinh Wind Power Joint Stock Company 1 (TNTVWP1).
The signing of the partnership agreement between the two parties will lay the groundwork and provide a framework for the units to capitalize on their respective strengths and develop an increasingly commercial solid partnership. Trungnam Group's development orientations include all industries that provide necessities for life, and they are the priority areas for Vietcombank's credit growth, particularly renewable energy projects.
Trungnam Group has completed three solar power projects with a total capacity of up to 800 MW in Ninh Thuan and Tra Vinh provinces and a wind power project with more than 150 MW in Thuan Bac district. Trungnam Group will complete the 220/500KV transformer station and transmission line project and the 450 MW Trung Nam Thuan Nam solar power plant in 2020. The Group is actively implementing numerous energy projects to connect 10 GW to the national power grid by 2027, with Dak Lak, Gia Lai, Tra Vinh, and Ninh Thuan projects.
Dong Hai 1 Wind Power Plant Project is being executed by TNTVWP1 (Trungnam Group), with a capacity of 100 MW and a scale of 25 wind turbines, on an area of 1,646 hectares, 3.5 kilometers from the shore, in commune Dong Hai, Duyen Hai district, Tra Vinh province. The project includes an 11.2km single-circuit 220kV line linking Dong Hai Wind Power Plant 1 to the 220kV busbar of Trung Nam Tra Vinh Solar Power Plant. The project aims to create a source of electricity generation and connect it to the national power system to provide additional power sources for Tra Vinh province and neighboring areas. The project has a total investment of more than 4,90 billion VND, of which the investor's capital is more than 1,790 billion VND, and the loan from Vietcombank is over 3,200 billion VND.
On the sponsor side, Vietcombank was founded in 1963. After over 58 years of construction and expansion, Vietcombank is one of Vietnam's leading commercial banks, with a vast network both at home and abroad. The country has about 500 branches/transaction offices/member companies/representative offices and correspondent banking relationships with 1,800 banks in 176 countries and territories throughout the world. Vietcombank was the most profitable bank in Vietnam in 2019, with a profit of more than 23,000 billion VND (equal to 1 billion USD) and the country's largest budget paying bank. Vietcombank has made significant contributions to the country's economic stability and development, promoting its role as a vital external bank, effectively servicing domestic economic growth, and having substantial consequences for the regional and worldwide financial community.
The signing of a credit contract between Trungnam Group and Vietcombank to finance the Dong Hai 1 Wind Power Plant project is significant. It opens up comprehensive cooperation and development between the two parties when prioritizing each other's services and support in consulting on strategy formulation and maximum capital management to jointly tighten the bilateral relationship and achieve solid achievements in the future. /.