BCPG Plc, the renewable power generation arm of Bangchak Corporation Plc, is planning to build Asia’s largest wind farm in Laos in cooperation with PowerChina International Group.
BCPG president Niwat Adirek, also an executive committee member of Impact Energy Asia Development (IEAD), signed an engineering, procurement and construction deal with executives of PowerChina International to develop a new wind farm named "Monsoon", with an electricity generation capacity of 600 megawatts.
The signing ceremony was held at BCPG's headquarters in Bangkok on Tuesday.
The onshore Monsoon wind farm would be operated by IEAD.
Under an agreement between BCPG and the government of Laos signed last year, the wind farm is to be developed on an area covering 400,000 rai, or 64,000 hectares, in southern Laos.
The facility is located near the Mekong River, across from Thailand's northeastern province of Ubon Ratchathani, with the total cost of the development estimated at US$1.5 billion.
The Lao government granted a 25-year concession to the operator of the wind farm, which spans two districts -- Dak Cheung in Sekong province and Sanxay in Attapeu province -- according to the website of the Asia Wind Energy Association.
Mr Niwat said the cooperation with PowerChina International would support the development of the wind farm because the Chinese company has expertise in the construction of power infrastructure, notably wind farms located in complex terrains in China and other countries.
BCPG plans to buy a power generation system from Envision Co as it matches the wind speeds recorded in the area.
The operation of the new wind farm is expected to start in 2025, Mr Niwat said.
The company will sell electricity to state-run Vietnam Electricity. The electricity will be supplied via 500-kilovolt transmission lines.
In Thailand, BCPG has said it would join the state renewable energy scheme, overseen by the Energy Regulatory Commission, by submitting proposals to develop and operate wind and solar farms with a capacity of 100MW.