Posco E&C wins contract for hydropower plant in Laos

Posco Engineering & Construction said on Wednesday it has clinched a construction contract to build a 65-megawatt hydropower plant along the River Nam Lik in Laos.

This is the first time Posco E&C has won a project to build a hydropower plant.

The construction arm of the nation’s leading steelmaker, Posco E&C won the project after setting up a joint venture called NL1PC with Thailand’s PTTI and HEC along with EDL, the utility authority of Laos.

Posco E&C will take care of engineering, procurement and construction. The power plant is expected to be completed in 39 months at a cost of $123 million.

The overall project will be done on a build, operate and transfer basis. NL1PC will surrender the plant to the Laos government after 27 years of operation.

Posco E&C said the plant will help ease chronic power shortages and lead to it winning more projects in the region in countries such as Vietnam, Thailand and Cambodia.