PV Power (POW) Forms LNG Joint Venture with SK Innovation for 60,000B VND Nghe An Plant

Overview

PV Power (HOSE: POW), SK Innovation of South Korea, and Nghe An Sugar Company (NASU) have incorporated Dien LNG Quynh Lap JSC to develop the 1,500 MW Quynh Lap LNG thermal power plant in Nghe An province. The project carries total investment of about VND 60,000B and is one of the largest energy developments in the North Central region. For POW, it extends the company’s LNG build-out beyond the Nhon Trach 3 and 4 complex.

Key Facts

• Dien LNG Quynh Lap JSC was established on 14 September 2026 with charter capital of VND 1,569.9B.
• PV Power contributed more than VND 800.6B for a 51% stake; SK Innovation contributed nearly VND 533.8B for 34%; NASU contributed nearly VND 235.5B for 15%.
• The plant is designed at 1,500 MW with total investment of approximately VND 60,000B, located in Tan Mai ward, Nghe An.
• The scope includes an LNG storage and regasification system with tanks of about 250,000 m3 and a dedicated berth at the Dong Hoi - Nghe An seaport area.
• Project technical infrastructure broke ground on 18 May 2026.
• The first shareholders’ meeting was held on 18 September 2026; the six-member board elected Nguyen Duy Giang, Deputy General Director of PV Power, as Chairman.
• PV Power’s consolidated assets exceeded VND 106,000B as of 30 June 2026, per reviewed first-half financial statements.

What Happened

According to enterprise registration records cited in the report, the joint venture was formally established on 14 September 2026 with its head office at the Nghe An Petroleum Building and a registered line of business in gas-fired thermal power generation. Charter capital of VND 1,569.9B is split entirely among the three founding shareholders, with PV Power as the controlling partner at 51%. SK Innovation, the energy arm of South Korea’s SK Group, holds 34%, and NASU holds 15% as the second-largest Vietnamese shareholder in the project entity.

On 18 September, the company convened its first shareholders’ meeting, approving a six-member board of directors and setting out priority workstreams for project implementation. Nguyen Duy Giang, Deputy General Director of PV Power, was elected Chairman. The report notes that Nghe An provincial authorities continued working with the parties through 17 September, indicating ongoing coordination on land, port, and permitting matters. The article does not disclose a final investment decision date, power purchase agreement terms, or commercial operation schedule.

Market Context

POW closed at VND 12,600 on 19 September 2026 on the Ho Chi Minh Stock Exchange. The company is one of Vietnam’s largest power generators, operating gas, coal, and hydro plants, and is already the sponsor of the Nhon Trach 3 and 4 LNG projects in Dong Nai. The Quynh Lap venture places POW at the centre of Vietnam’s emerging LNG-to-power pipeline, a segment tied to the Power Development Plan VIII and to Vietnam’s shift toward imported LNG as domestic gas output declines. SK Innovation’s participation links the project to a Korean group with roughly KRW 105,000B in assets following its November 2024 merger with SK E&S.

Strategic Significance

The transaction matters less for near-term earnings than for positioning. By anchoring a 51% stake, POW secures control of a 1,500 MW asset and a 250,000 m3 LNG import terminal with dedicated port access, giving it both generation capacity and fuel-handling infrastructure on the North Central coast. That combination is scarce in Vietnam and difficult to replicate once sites and berths are allocated. SK Innovation’s 34% provides balance-sheet depth and LNG sourcing experience, while NASU’s 15% ties in a local partner with provincial relationships. For long-term holders, the key question is whether POW can convert this pipeline into contracted offtake and returns without stretching a balance sheet that already carries Nhon Trach 3 and 4 commitments.

What to Watch

• Execution milestones for Quynh Lap, including a final investment decision, EPC contractor selection, and any announced commercial operation date.
• Power purchase agreement terms with EVN or another offtaker, and whether pricing supports project returns.
• Progress and cost updates on Nhon Trach 3 and 4, which compete for the same capital and LNG expertise.
• Further provincial and central approvals covering land, the Dong Hoi port berth, and gas supply arrangements.
• POW’s next financial disclosure for capital expenditure guidance and any equity or debt raising tied to the LNG pipeline.