Russian oil & gas company Zarubezhneft and DEME Concessions Wind have signed a Memorandum of Understanding to jointly develop a 1 GW Vinh Phong wind farm offshore Vietnam.
The consortium plans to commission the project’s first phase with 600 MW capacity by 2026 and the second phase with 400 MW capacity by 2030.
The subsidiaries of the two companies, DEME Offshore and Vietsovpetro are also signatories to the MoU.
DEME Offshore and Vietsovpetro will be the exclusive contractors for the project.
Vinh Phong will need to raise VND 72.9 billion (around EUR 2.7 billion) of investments and it will be capable of providing a total of VND 10 billion of tax contributions, Zarubezhneft said.
The project is expected to create 2,500 qualified jobs, including 1,800 jobs at the construction stage, 200 jobs at the operation stage, and 500 jobs at the dismantling stage.
Zarubezhneft JSC and DEME Concessions Wind will be the main investors in the project.
Vietsovpetro is a 40-year joint venture between Zarubezhneft and the Vietnamese oil company PetroVietnam.