Russia’s state-run Vnesheconombank (VEB) signed an agreement with Iran’s government-owned Bank of Industry and Mines (BIM) for a loan to help build a $1.4 bln gas-fired 1.4-GW power plant, Sirik, in Hormozgan province, south of Iran, BIM reported on September 12, 2017.
An informed source told NGW that the repayment period of the loan would be 5 years at 2.77% interest rate without governmental guarantee.
The source added that VEB will finance 85% of the volume and Technopromexport, which is 51% owned by state-run Rostec and 49% by Yevgeni Giner - the president of football club CSKA - would develop the project.
Local funds will cover the rest and Iranian companies willl provide a little under a 3rd of the equipment and materials.
VEB did not reply to NGW's request for further details by press time nor was the loan mentioned on its website.
The plant includes 4 350-MW units, the 1st of which will be synchronised with the grid in 44 months, according to Iran's holding company for thermal power plants.
The Russian government promised last year to issue $2 bln loan for power plants and to electrify a railway from Garmsar in eastern Tehran to Ince-Burun in the northeast.
Technopromexport has also been in talks with Iran on building three other power plants: 2 in Tabas, with a combined 630 MW capacity; and Tabriz (1.4GW). Tabas is in the northeast and Tabriz in the northwest.
According to the latest weekly report of energy ministry, Iran´s installed power generation capacity is 77.037 GW as of September 1.
Iran plans to increase this to 100 GW by 2021 and to 125 GW by 2025.