Representatives from Laos and Vietnamese agencies at the signing ceremony. (Source: VNA)

The Lao Government and Chitchareune Construction Co., Ltd. on February 13 signed an agreement to develop a 1,200 MW wind power plant in Nong district, Laos’ Savannakhet province which aims to supply electricity to Vietnam from late 2027.

The signing ceremony saw the participation of Vietnamese Ambassador to Laos Nguyen Minh Tam; Lao Minister of Planning and Investment Phet Phomphiphak; representatives of the Lao Government Office and the Ministry of Energy and Mines, agencies and units of Vietnam and Laos.

In order to support energy security for Vietnam and meet the growth needs of the Lao economy, Chitchareune Construction Co., Ltd. has coordinated with authorities and consulting companies to research and develop the Nong wind power plant t on a surveyed land area of nearly 28,500 ha.

According to the company, it has been working with the authorities, the consulting unit of the Institute of Energy under the Vietnamese Ministry of Industry and Trade, suppliers and financial institutions to finalise the project’s feasibility study report and will sign the project concession contract in the second quarter of 2026.

The project has a total investment of about 1.9 billion USD. Its first phase will boast a capacity of 702 MW, and an investment value of about 1.123 billion USD while phase 2 498 MW, and 797 million USD, respectively.

The project is expected to export 1,526 kWh to Vietnam annually once its first phase completes by the end of 2027, and additionally 1,112 million kWh per year after its second phase becomes operational in 2030.