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S'pore company wins bid to build Myanmar power plant
Publication Date : 25-02-2014
A Singapore firm has won a contract to build a US$170 million power plant in fast-emerging Myanmar.
Asiatech Energy, headed by veteran oil trader Tang Weng Fei, is going ahead with the venture after signing a financing agreement with United Overseas Bank (UOB) on Monday.
Asiatech is the first Singapore firm to build a combined cycle gas -fired power plant in Myanmar.
It will be in Mawlamyaing Township, in Mon state, the country's fourth largest city, about 300 km southeast of Yangon.
The project was commissioned by Myanmar Lighting IPP which will own and operate the plant.
Tang told The Straits Times by telephone from Myanmar that he had wanted to be involved in a substantial project in Myanmar.
He said he has known Sein Wan, chairman of Myanmar Lighting IPP for some time. He visited Singapore early last year outlining investment opportunities.
Tang said: "For the last 14 months we've been working on this. I've received a lot of invitations to go into property and all, but I wanted to do something more substantial and it's a way to help the people of Myanmar."
The 230 megawatt power plant will produce enough electricity for about five million people.
Myanmar Electrical Power Enterprise will distribute the electricity generated.
It will be built over two phases and is expected to start producing 43 megawatts by the second quarter of this year and to be completed by late next year.
Frederick Chin, managing director and head of group wholesale Banking at UOB, said: "The financing of Asiatech Energy's project is in line with our approach of supporting the businesses building the infrastructure that is necessary to drive the region's economic growth."
Tang said: "I've been working closely with my partners, and the project is not without challenges, as the new economy opens up, but I think we will be looking at more opportunities.