SEOUL, KOREA - POSCO Energy has won the license to build and run a coal-fired combined cycle thermal power plant, or CHP-5, in Mongolia. The company said on June 22 that it held a signing ceremony on the 20th in Ulan Bator, with dignitaries including Mongolian Minister of Economic Development N. Batbayar, Minister of Energy M. Sonompil, POSCO Energy senior executive Shin Chang-dong, GDF Suez Asia-Pacific unit head Jan Flachet, as well as Japan's Sojitz Corp. executive and Mongolia's Newcom president Unenbat in attendance.
The project calls for building a 450-megawatt thermal power plant in the outskirts of the Mongolian capital. POSCO Energy will be a member of a consortium consisting of French, Japanese, Mongolian, and Korean companies. The build-operate-transfer (BOT) project will commence next year and transfer its ownership free-of-charge to the Mongolian government after 25 years of operation. POSCO Energy owns a 30-percent stake in the consortium.
Hwang Eun-yeon, POSCO Energy president, said, "After breaking the ground for the 1,200-megawatt Mong Duong II coal-fueled power plant project in 2012 and completing the 200-megawatt blast furnace gas power plant in Indonesia early this year, we set the foundation of leapfrogging into the world's major power plant builder with the Mongolian project this time."