Completed Mixed AidData Chinese Aid

China Eximbank provides $206.4 million buyer’s credit loan for 194.1MW Kamchay Hydroelectric Power Plant Project (Linked to Record ID#65326)

$206.43M USD

Funder	Export-Import Bank of China (China Eximbank)
Recipient Organization	Sinohydro Kamchay Hydroelectric Project Co., Ltd.
Country	Cambodia
Start Date	Aug 31, 2007
End Date	Jun 09, 2028
Duration	7,588 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`33054`

Grant Description

China Eximbank provides $206.4 million buyer’s credit loan for 194.1MW Kamchay Hydroelectric Power Plant Project On August 31, 2007, China Eximbank and Sinohydro Kamchay Hydroelectric Project Co., Ltd. — a special purpose vehicle (SPV) and a wholly-owned subsidiary of PowerChina Resources Ltd. (PCR) — signed a $206,432,000 buyer’s credit loan agreement for the 194.1MW Kamchay Hydroelectric Power Plant Project.

📋 Loan / Grant Terms

💰 Loan Amountcarries a 15-year maturity

📅 Maturity15 years

It was backed by a Sinosure insurance policy and secured by (i.e. collateralized against) with account pledge agreement, an insurance policy pledge agreement, and a land and building mortgage agreement, among other things.

The proceeds of the loan were used to partially finance a commercial (EPC) contract PowerChina's subsidiary, Sinohydro Group, signed with the Cambodian Ministry of Industry, Mines and Energy, and Electricite du Cambodge on February 23, 2006.

The total cost of this 44-year Build-Operate-Transfer (BOT) project was $280,500,000. 72% of the project cost was covered through China Eximbank debt financing (captured in this project) and 28% of the project cost was covered through equity (captured in Record ID#65326).

The purpose of the project was to construct a 194.1MW hydroelectric power plant (with eight power generation units) in Bokor National Park (BNP), which is an extension of the Cardamom Mountains in the Elephant Mountain Range in southwestern Cambodia on the Kamchay River.

The nearest city to the project site is the provincial town of Kampot, which is about 15km downstream of the river and 150km from Phnom Penh. Upon completion, the plant was expected to have a total installed capacity of 193,200 kilowatts. The electricity generated by the plant was to be connected through the Kampot Switching Station to the Phnom Penh Grid.

Sinohydro Kamchay Hydroelectric Project Co., Ltd. served as the Project Owner, the Project Contractor, the Project Operator. A formal groundbreaking ceremony took place on April 8, 2006. It was attended by Chinese Prime Minister Wen Jiabao and the Prime Minister of Cambodia Hu Sen. However, construction did not begin until September 18, 2007.

All 8 power generation units were put into operation on December 7, 2011. Then, on August 1, 2012, commercial power generation metering commenced.

During project implementation, 2,015 hectares of protected forest were lost due to the flooding for the reservoir, and a total area of 2,291 hectares was destroyed.

As the dam was located in a national park, no resettlement was required because there were no villages located upstream of the dam.

However, the flooded area was a mixed bamboo forest, which provided raw materials for basket-making, rattan, and wild fruits, which contributed to the livelihoods of the poorer families located downstream.

Under terms of the BOT agreement, Sinohydro sells the electricity generated by the Kamchay Hydroelectric Power Plant to the Electricite du Cambodge. The concession period is 44-years (4-years for construction and 40-years for operation).

After the expiration of the concession operation period, the project facilities will be transferred to the Cambodian Government free of charge.

📋 Staff Comments

This project is also known as the Kamchay Dam Hydropower Station Project, the 194.1MW Kamchay Dam Project, and the 194.1MW Chamchay Hydroelectric Power Plant Project. The Chinese project title is 柬埔寨甘再水电站BOT项目 or (柬埔寨甘再水電站項目.
The China Eximbank loan that supported this project is not included in the Overseas Development Finance Dataset that Boston University’s Global Development Policy Center published in December 2020.
For loan and debt rescheduling records with variable interest rates, AidData calculates the all-in interest rate at T0 based on the reference rate (such as LIBOR or EURIBOR) on the loan start date, plus any known margin. Please see the methodology for additional details.
The annual interest rate of the China Eximbank loan increased to 12-month LIBOR plus a 1.5% margin after the project achieved its commercial operation date (COD).
Sinosure issued an overseas investment insurance policy for the project on December 24, 2007. On January 30, 2008, the project company and China Eximbank signed a contract rights pledge and guarantee agreement, an account pledge agreement, an insurance policy pledge agreement, a land and building mortgage agreement, a collateral agreement sponsors pledge agreement, and a sponsors support agreement. See https://e-tarjome.com/storage/uploaded_media/2022-10-20/1666239858_F2037-English-e-tarjome.pdf and http://dx.doi.org/10.1108/EEMC-07-2013-0152

📚 Sources & References

Hun Sen secures $400 million from China
High hopes for hydropower
China transforms Cambodia's electricity
PM Inaugurates Kamchay Hydropower Plant
China to build hydro-power plant in Cambodia
Chinese firm wins contract to build hydroelectric dam in Cambodia
DJ China Pledges US$400 Million In Aid
Invest For Cambodia
KAMPOT: KAMCHAY HYDROELECTRIC DAM OPERATIONAL
China revives dreams of Kampot mega-dam
Cambodia gets more Chinese investment
Cambodian Hydropower Station funded by China's Sinohydro put into operation
Cambodian plant gets finance
Dams
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A Norm-Taker or a Norm-Maker? Chinese aid in Southeast Asia
洪森首相出席甘再水电站发电仪式
柬埔寨甘再水电站
中国水电集团承建柬埔寨甘再水电站下闸蓄水
China to back Kampot power plant
The special relationship between China and Cambodia
Cambodia approves controversial dam plan
Cambodia opens controversial mega-dam, @HD New Opinion Head S/C;The special
Corporate: China powers its way through Cambodia
World Bank PPl
柬埔寨甘再水电站工程
柬埔寨甘再水电站, “一带一路”PPP项目案例 ——柬埔寨甘再水电站
中国公司投资的柬埔寨甘再水电站竣工启用
柬埔寨甘再水电站BOT项目投标与签约
中国水电集团柬埔寨甘再水电站项目融资完成
温家宝总理与柬埔寨首相洪森会谈
中国水利水电建设集团承建柬埔寨甘再水电站项目
中水电公司柬埔寨甘再水电站BOT项目喜获鲁班奖
中国电建柬埔寨甘再水电站累计发电量突破30亿千瓦时
甘再水电站——柬埔寨“三峡工程”见证中柬友谊
中国水电投资的柬埔寨甘再水电站大坝主体工程开建
温家宝总理与柬埔寨首相洪森会谈
National Bank of Cambodia Annual Report 2007
US$2,500,000,000 Medium Term Notes and Senior Perpetual Securities Programme (the “Programme”) Unconditionally and Irrevocably Guaranteed by 中國電力建設集團有限公司 POWER CONSTRUCTION CORPORATION OF CHINA
柬埔寨甘再水电站项目
China's Overseas Development Finance
Kamchay Hydroelectric BOT Project Validation Report
Kamchay Hydroelectric BOT Project Design Document
Letter of Approval for Kamchay Hydroelectric BOT Project, [Draft] Environmental and social impact assessment (ESIA) on Kamchay Hydroelectric Project in Kampot Province of SINOHYDRO KAMCHAY HYDROELECTRIC CO.
LTD.
Benefit sharing from Kamchay and Lower Sesan 2 hydropower watersheds in Cambodia Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.