Phulbari power station (China Gezhouba)
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Phulbari power station (China Gezhouba) is a cancelled power station in Phulbari, Dinajpur, Rangpur, Bangladesh.
Location
Table 1: Project-level location details
| Plant name | Location | Coordinates (WGS 84) |
|---|---|---|
| Phulbari power station (China Gezhouba) | Phulbari, Dinajpur, Rangpur, Bangladesh | 25.946873, 89.55324 (approximate) |
Project Details
Table 2: Unit-level details
| Unit name | Status | Fuel(s) | Capacity (MW) | Technology |
|---|---|---|---|---|
| Unit 1 | Cancelled | coal: unknown | 1000 | ultra-supercritical |
| Unit 2 | Cancelled | coal: unknown | 1000 | ultra-supercritical |
Table 3: Unit-level ownership and operator details
| Unit name | Owner | Parent |
|---|---|---|
| Unit 1 | GCM Resources PLC; China Energy Engineering Corp Ltd | China Energy Engineering Corp Ltd; GCM Resources PLC |
| Unit 2 | GCM Resources PLC; China Energy Engineering Corp Ltd | China Energy Engineering Corp Ltd; GCM Resources PLC |
Project-level coal details
- Coal source(s): Phulbari coal mine
Overview
The Phulbari power station (China Gezhouba) is a sister project to the 4,000 MW Phulbari power station (Sinohydro), also proposed at the location and developed by the same company GCM Resources.
Both projects rely on coal from the proposed Phulbari coal mine, also being developed by GCM Resources. The overall project is often referred to as Phulbari coal mine project or Phulbari coal and power project.
Background
GCM Resources, formerly Asia Energy Corporation, is a British company established with the sole purpose of building a coal mine and power plant in Phulbari. The company, as Asia Energy, had an earlier proposal for a mine and power plant in the 2000's (see Phulbari Coal Project (Asia Energy)). That proposal was met with considerable resistance, with three people having been killed and more than 200 injured by police in a public protest against the proposal in August 2006.
In April 2018, GCM Resources signed a preliminary Engineering, Procurement and Construction (EPC) contract with China Gezhouba Group International Engineering (subsidiary of China Energy Engineering Corporation) for a US$3.8 billion, 2,000 MW Phulbari mine-mouth coal plant.[1][2]
In July 2019, GCM Resources announced it had entered into a bilateral agreement with China Nonferrous Metal Industry and Power Construction Corporation of China (PowerChina) to jointly manage the Phulbari coal mine project.[3]
As of June 2020, feasibility studies were underway, with £55 million invested in the project up to 30 June 2020.[4]
On October 15, 2020, GCM Resources announced that it signed a framework agreement with China Nonferrous Metal Industry's Foreign Engineering and Construction Co., Ltd (otherwise known as NFC) and Power Construction Corporation of China, Ltd (PowerChina). In the two weeks after the announcement, there was increased trading activities involving GCM shares and at least thrice they had to announce Price Monitoring Extension to extend the auction call period. (An opinion piece highlighted that since the refusal of the government to renew GCM's licence for its exploration work, GCM has been maintaining low-level exposure within Bangladesh, thereby avoiding media scrutiny. Instead, the current management of the company was seeking intervention of the Chinese government.)[5]
Under the agreement, NFC was intended to acquire an interest of 5% of the joint venture entity from GCM, based on a valuation of the project to be agreed upon with GCM or its affiliate or investment partner holding the balance of ownership of the project. NFC would arrange financing for the project on acceptable, market-equivalent terms, and would in principle be appointed as the exclusive engineering, procurement, construction and commissioning (EPC) contractor for the project.[6]
In March 2021, GCM Resources shares rose after Bangladesh JV Partners reaffirmed commitments.[7]
In September 2021, following the Chinese President's address to the United Nations General Assembly, it was reported that GCM remained committed to delivering the Phulbari Coal and Power Project "in a form that fits in with the Bangladesh Government's Energy and Power Sector development ambitions" and includes new coal capacity.[8]
Change of Course 2021-2022
In its 2020 annual report, GCM referred to both Phulbari coal plants forming part of its strategy, the 2,000 MW Phulbari power station developed in partnership with China Gezhouba and the 4,000MW Phulbari power station (Sinohydro) developed in partnership with Power China, with total capacity of 6,000MW to match the planned 16mtpa capacity of the proposed Phulbari coal mine.[9]
In its 2021 annual report, GCM referred to a modification of its strategy and stated that a large portion of coal production from the mine could be marketed to the government-owned power plants (i.e. rather than the 2,000MW Phulbari power station). Concerns to obtain financing for the coal-fired power plants were mentioned as one of the reasons. The report did not refer anymore to the plan to develop the 2,000MW power plant with a focus instead on the 4,000MW Phulbari power station (Sinohydro).[10]
Likewise in its 2022 annual report, there were no references to China Gezhouba or the plan to develop the 2,000MW project.[11] The project appeared to be cancelled.
Protests
In December 2018, protesters with Phulbari Solidarity Group, Extinction Rebellion, and Reclaim the Power blocked the entrance to GCM Resources' shareholder meeting in London, in a protest against the proposed project.[12]
In August 2021, protesters from anti-mining and climate justice organisations occupied the entrance of the Bangladesh High Commission to commemorate the 15th Phulbari Day since the 2006 Phulbari Massacre. The Phulbari Solidarity Group and London Mining Network were joined by Extinction Rebellion Youth Solidarity, Global Justice Bloc and Fossil Fuel London in a vigil and protest. Organisers handed over a memorandum signed by 41 international organisations asking the Bangladesh High Commission to call for the end of coal mining and coal-fired power plants in Bangladesh, as well as the delisting of GCM from the London Stock Exchange.[13][14]
Financing
In March 2018, IJGlobal disclosed that US$3.8 billion in financing was being sought for the project, and that China Gezhouba would be in charge of arranging the financing. The global investment firm Northland Capital Partners was reported to be the financial adviser for the project.[15] It was anticipated that GCM Resources will own 70% of the project company while China Gezhouba will own 30%.[15]
Articles and Resources
References
- ↑ "China Gezhouba Group signs preliminary EPC contract to build 2,000MW power plant in Bangladesh," The Asset, April 3, 2018 (paywall)
- ↑ "Annual Report and Accounts 2019," GCM Resources, 2019
- ↑ "GCM Resources signs agreement to develop its Phulbari Coal Mine," Vox Markets, July 11, 2019
- ↑ "Project Status," GCM Resources, accessed December 2021
- ↑ "Opinion: Ban GCM for claiming ownership of our coal," November 5, 2020
- ↑ "GCM Resources signs framework agreement with NFC," Energy Bangla, October 16, 2020
- ↑ "GCM Resources Shares Rise After Bangladesh JV Partners Reaffirm Commitment," Market Screener, March 17, 2021
- ↑ "Small Cap Wrap - 1Spatial, Beeks Financial Cloud, Crossword Cybersecurity and more...," proactive, September 27, 2021
- ↑ "GCM Resources Annual Report 2020" (PDF). www.gcmplc.com. 2020.
{{cite web}}: CS1 maint: url-status (link) - ↑ "GCM Resources 2021 Annual Report" (PDF). www.gcmplc.com. 2021.
{{cite web}}: CS1 maint: url-status (link) - ↑ "GCM Resources 2022 Annual Report" (PDF). www.gcmplc.com. 2022.
{{cite web}}: CS1 maint: url-status (link) - ↑ "Environmental activists confront coal-mining executives at shareholders' meeting in London," Morning Star, December 28, 2018
- ↑ "Call to end coal mining in Bangladesh," Green World, August 31, 2021
- ↑ "Activists call for implementation of Phulbari agreement," Dhaka Tribune, August 26, 2021
- ↑ 15.0 15.1 "Phulbari Mine-Mouth Coal-Fired Power Plant Expansion (2000MW)," IJGlobal, March 26, 2018
Additional data
To access additional data, including an interactive map of coal-fired power stations, a downloadable dataset, and summary data, please visit the Global Coal Plant Tracker on the Global Energy Monitor website.
