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Plan for the Development of a Green Hydrogen Production Project with a Capacity of 450-500 MW
On December 23, the People’s Committee of Binh Dinh province submitted a report to the Ministry of Industry and Trade on the implementation of the Strategy for the Development of Vietnam’s Chemical Industry by 2030, with a vision towards 2040.
In the report, the People’s Committee of Binh Dinh province stated that they are facilitating the approval process for the Phu My Industrial Park, which spans approximately 820 hectares. This park is envisioned to be a hub for specialized chemical industry sectors, including green hydrogen and green ammonia projects.
The 1/5000 construction planning of Phu My Industrial Park was approved by the Chairman of the Provincial People’s Committee of Binh Dinh in March 2024.
The scale of the project is among the largest in the province.
By October 2024, the 1/5000 construction planning of Phu My Industrial Park was essentially completed and sent for review to the Ministry of Planning and Investment, the Ministry of Construction, the Ministry of National Defense, and the Ministry of Public Security.
The report mentions that in the Phu My Industrial Park, Phu My Investment Group Joint Stock Company is planning to invest in a green hydrogen production project with a capacity of 450-500 MW (pilot 50MW) in phase 1 from 2026-2030 and 2,000 MW in phase 2 from 2030-2035.
The expected hydrogen output is 20,000 tons of hydrogen per year (phase 1) and 160,000 tons of hydrogen per year (phase 2).
The technology and equipment for the green hydrogen production project are anticipated to be supplied by Siemens Energy and G7 countries.
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In late 2023, at the Conference on Announcing the Planning of Binh Dinh Province for the period of 2021-2030, with a vision towards 2050, the Provincial People’s Committee of Binh Dinh granted the investment registration certificate for the Hydro Production – Comprehensive Port – Phu My Industrial Park project to Hướng Việt Investment Consulting Joint Stock Company.
Information disclosed at the conference revealed that the expected investment capital for the project is approximately VND 21,000 billion.
Hướng Việt is a major shareholder of Phu My Investment Group Joint Stock Company.
Another company, Dai An Saigon Joint Stock Company, also proposed to invest in the Phu My Industrial Park project via a document sent to the Provincial People’s Committee of Binh Dinh on August 19, 2024.
According to the report, the green hydrogen project faces challenges due to high investment costs for offshore wind and electrolysis systems, lack of technological expertise, high production costs, limited domestic demand for green hydrogen applications, and substantial capital requirements.
The report proposes the need for mechanisms to encourage, incentivize, and support green hydrogen production projects, along with policies to attract investment capital.
Who is the Investor of the Project?
The investor of the project, Phu My Investment Group Joint Stock Company, has a charter capital of VND 1,425 billion and three shareholders: Mandala Corporation Joint Stock Company holding 65% of the capital, Hướng Việt Investment Consulting Joint Stock Company holding 20%, and Vietnam Marine Port Investment Joint Stock Company holding 15%. The director and legal representative of the company is Mr. Tran Nhu Long (born in 1979).
Mandala Corporation Joint Stock Company
was established in March 2024 with a charter capital of VND 395 billion, of which Mr. Duong Quang Can holds 99.8% of the capital, High-Tech Energy and Infrastructure Development Joint Stock Company and Mrs. Thai Thi Thanh Huong hold the remaining 0.1%. By August 2024, the company had increased its investment capital to VND 930 billion, without disclosing the shareholder structure.
Mr. Duong Quang Can is currently the Director and Legal Representative of Ia Pet Dak Doa No. 2 Wind Power Joint Stock Company and High-Tech Energy and Infrastructure Development Joint Stock Company.
These individuals and entities are major players in the energy sector in Vietnam, with credit support from OCB Bank.
Regarding Hướng Việt, as mentioned earlier, this company received the investment registration certificate for the Hydro Production – Comprehensive Port – Phu My Industrial Park project from the Provincial People’s Committee of Binh Dinh in late 2023.
Vietnam Marine Port Investment Joint Stock Company, chaired by Mr. Le Xuan Quang, who is also the legal representative, recently increased its charter capital from VND 10 billion to VND 223.75 billion in September 2024.
