Power Machines doesn’t rule out breaking Vietnam power plant deal

MOSCOW, Mar 1 (PRIME) -- Russian power engineering company Power Machines of businessman Alexei Mordashov does not rule out that a contract on construction of the Long Phu 1 thermal power plant in Vietnam may be adjusted or even terminated, as seen by PRIME in a report of the company on Friday.

“There is uncertainty about the further implementation (of the project),” the document read.

The company has been building the plant under an engineering, procurement and construction (EPC) contract worth U.S. $930.6 million with Vietnam’s state company Petro Vietnam (PVN).

In October 2018, Kommersant business daily reported that that the U.S. sanctions imposed against the company in January had forced over 15 large contractors including the U.S.’ GE to leave the project which may lengthen the implementation timeline and raise costs.

End