Bank of China agrees in principle to finance 660 MW Slavyansk Thermal Power Plant (Units 6B and 6A) Retrofitting Project

Bank of China agrees in principle to finance 660 MW Slavyansk Thermal Power Plant (Units 6B and 6A) Retrofitting Project On June 5, 2013, the Cabinet of Ministers of Ukraine approved a feasibility study for the 660MW Slavyansk Thermal Power Plant (Units 6B and 6A) Retrofitting Project.

Then, on December 3, 2018, an auction was held, which resulted in the lowest registered bid price of UAH 19,089 million.

The bid was submitted by Dongfang Electric International Corporation and it provided a letter of interest in finanacning from Bank of China.

Under the terms of the tender, the winning bidder was responsibility for mobilizing credit financing worth at least 85% of the commercial (EPC) contract for a period of at least 15-years.

On December 20, 2018, a $684.3 million commercial (EPC) contract was concluded between Donbasenergo JSC and Dongfang Electric International Corporation.

As of 2019, a Sinosure-backed, Bank of China buyer’s credit loan (that would finance 85% of the cost of the EPC contract) was still pending approval.

The purpose of the 660MW Slavyansk Thermal Power Plant (Units 6B and 6A) Retrofitting Project is to replace Unit 6 of the Slavyansk power station in Mykolaivka (exact locational coordinates: 48.872, 37.76567).

Unit 6B was originally scheduled to be commissioned in July 2022, and Unit 6A was originally scheduled to be commissioned in July 2023. Russia's invasion of Ukraine has delayed project implementation.