Chinese energy company Huadian has proposed the construction of a $2.4bn green hydrogen plant in central Vietnam, local media report.
The state-owned company is looking to carry out the project with Vietnamese conglomerate Minh Quang JSC.
The plan is to build a 1.2GW wind farm and an 800MW solar farm to power a hydrogen production facility in the province of Quang Tri.
It is expected that the 50ha plant in the Dong Gio Linh industrial cluster would have an annual output of 60,000 tonnes.
This would be enough to earn annual revenues of $250m and contribute $28m million to the state budget, as well as creating 500 jobs for the local economy.
The project would be developed in phases, with the first involving only a 200MW solar farm.
Beijing-based Huadian has submitted its proposals to the province government.
Vo Van Hung, the chair of Quang Tri council, welcomed the proposal and asked local agencies to cooperate with the firms in carrying out project studies and expediting the planning approval process.
Both companies involved in the scheme have already gained experience in the renewable sector. Huadian has several investments in Vietnam including a 200MW wind farm in the Central Highlands province of Dak Lak. It has also built a $2.2bn Duyen Hai 2 coal-fired power station in the southern province of Tra Vinh.
Minh Quang JSC has a focus on biofuel and clean energy, and is presently developing solar power projects of 400 MW in the Central Highlands province of Dak Nong.
Vietnam’s national hydrogen strategy requires the construction of an industry with an annual capacity of 10-20 million tonnes by 2050 (see further reading).
By 2030, the country aims to deploy modern technologies in green hydrogen production, carbon capture and storage, with an annual output of up to 500,000 tonnes.
Work on Vietnam’s first green hydrogen plant began last March 2023 in the Mekong Delta province of Tra Vinh. This scheme, which has an investment value of $341m, is being developed by Tra Vinh Green Hydrogen.
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