Friday, September 14, 2007

Czech company to build 3000 megawatt power plant in Vietnam

CEZ signs initial agreement to build 3000 MW power plant in Vietnam

PRAGUE (Thomson Financial) - CEZ subsidiary construction firm Skoda Praha has signed today an initial agreement with Vietnam's power firm EVN to build 3000 MW power plant in Vietnam, CEZ deputy board chairman Daniel Benes told reporters.

'Skoda Praha has today signed a memorandum of understanding to build six 500 MW blocks in Vietnam' he said.

Benes added CEZ will continue to negotiate with the Vietnamese this and next year about details of the deal.

Skoda Praha will be the contractor leading a consortium of Czech and Slovak companies and CEZ' role will be decided later, Benes said.

The Vietnamese would like the first block of the power plant to be ready in 2011 or 2012, Benes said but added he sees that as unrealistic.

Benes wouldn't disclose the value of the deal but earlier reports said it could reach 90 bln crowns.

Speaking at the same briefing, CEZ's chief financial officer Petr Voboril told reporters the company would complete its buyback of 10 pct of its own shares by the end of 2007.