Darkhan power station

From Global Energy Monitor
This article is part of the CoalSwarm coverage of Mongolia and coal
Sub-articles:
Related articles:

Darkhan power station is an 83-megawatt (MW) coal plant in the city of Darkhan, Mongolia.

Location

The undated satellite photo below shows the plant in Darkhan.

Loading map...

Background

The plant comprises four 12 MW units built in 1966.[1][2]

Proposed expansion

According to a request for tenders, the existing units are being upgraded and a new 35 MW unit is planned to be commissioned by 2015.[3][4]

In 2013, the government of Mongolia's Energy Ministry "received a financial contribution from the KfW development bank" towards what was described as the "Energy Efficiency Program II". As a part of the project tenders were called for the "preparation of a feasibility study for the rehabilitation" of two thermal power stations - the Darkhan powwer station and the 36 MW Choibalsan power station.[3]

In May 2017, it was reported EUR 11 million additional funding was required for completion of the refurbishment, which was expected to be completed by 2018. The additional funding is reportedly required because the equipment and material prices had increased since the establishment of the agreement.[5]

According to government plans from 2015-2016, the new unit is planned for commissioning in 2018.[6]

The new unit was commissioned in 2019.[7]

Financing

In 2015, it was reported the 35 MW unit would be co-funded by KfW with €15m and €5m from Mongolia’s budget.[8]

On January 26, 2018, the Parliament of Mongolia passed a loan agreement with Germany to finance the new unit of the Darkhan project. The Mongolian Government will obtain a EUR 5 million loan within the Mongolia-Germany Intergovernmental Agreement on Financial Cooperation in addition to the loan agreement between the Government of Mongolia and KfW Development Bank.[9]

Coal supply

A coal exploration company, Viking Ashanti, announced in May 2014 that BRX LLC, subsidiary of a subsidiary of Auminco which in turn is a subsidiary of Viking Ashanti, had entered into a non-binding Memorandum of Understanding on potential supply of coal to the expanded plant from its proposed Berkh Uul Bituminous Coal Project in northern Mongolia. Viking stated that the existing power station consumes approximately 400,000 tonnes of coal per year and that the expanded plant would consumer approximately 600,000 tonnes of coal a year.[2]

Project Details for 35 MW Expansion

  • Sponsor: Darkhan Thermal Power Plant Joint Stock Company
  • Parent company: Central Energy System
  • Location: Darkhan, Mongolia
  • Coordinates: 49.4366, 105.9576 (exact)
  • Status: Operating
  • Gross Capacity: 35 MW
  • Type: Subcritical
  • Start year: 2019
  • Coal Type: Bituminous
  • Coal Source: Berkh Uul Coal Project, northern Mongolia
  • Source of financing: KfW (€15m), Mongolia (€5m), Mongolia-Germany Intergovernmental Agreement on Financial Cooperation (€5m)[8][9]

Articles and resources

References

Related GEM.wiki articles

External resources