BEIJING, Nov. 18, 2014 /PRNewswire/ -- Today, Mogul Power LLC, a Mongolian company founded and financed by two funds managed by an affiliate of New York-based Firebird Management LLC ("Firebird"), is pleased to announce that it has signed a binding Memorandum of Understanding (MOU) with SEPCOIII Electric Power Construction Corporation ("SEPCOIII"), a Chinese state-owned enterprise, for the development and financing of the Tevshiin Gobi power plant project. The management teams of Mogul Power LLC, Firebird, and SEPCOIII attended the sigining ceremony at the Embassy of Mongolia to the People's Republic of China in Beijing, and once again expressed their intention to work together to successfully develop the project.
The 600MW Tevshiin Gobi mine mouth power project, requiring an estimated $1 billion USD and owned by Mogul Power, will be constructed at the Tevshiin Gobi coal deposit in the Santsagaan Sum of the Dondgobi province. The power plant feasibility study was completed by an American energy engineering firm, Burns and Roe Enterprises Inc., and approved by the Mongolian Ministry of Energy in 2013. The project has received a permit to construct from the Mongolian Energy Regulatory Commission, and approval of its Environmental Impact Assessment from the Ministry of Environment.
SEPCOIII Electric Power Construction Corporation, founded in 1985 is an international EPC power contractor and a leading subsidiary of China's energy services corporation, Power Construction Corporation of China (also known as PowerChina). SEPCOIII has broad experience in the international power sector - including gas and coal power plants, wind, solar, hydro, nuclear and biomass, as well as substations and transmission lines. With a long list of awards and nominations, SEPCOIII has completed high quality works worldwide on over 33,500 MW of capacity as of 2013, which brought in revenue of RMB 13.5 billion ($2.23 billion). Since 2013, SEPCOIII's strategy has broadened to include the Independent Power Producer business sector, hence SEPCOIII is now actively seeking power project investment opportunities internationally, including within Mongolia in particular.
Based in New York, Firebird started investing in Mongolia in 2006 and is the largest foreign institutional investor operating on the Mongolian Stock Exchange.
James Passin, Principal at Firebird, stated, "I am excited to advance this important energy project in Mongolia following the passage of the Investment Law in October 2013."
Mr. Zhang Hongsong, Vice President of SEPOCOIII, reiterated, "This project underpins the importance of the recent discussions for more energy cooperation - during the recent APEC meetings in Beijing and also recently addressed between the top leaders of both countries."
Mr. Sukhbaatar Tsedenjav, Ambassador of Mongolia to the People's Republic of China, was a witness to the signing and expressed his support for the project. "The government of Mongolia supports this project," he said, "which is the first mine-mouth IPP in the history of our country, and one of the first to pave the way for further cooperation between our two great countries."
For more information, contact Erdembileg Jugdernamjil at [email protected].
SOURCE Mogul Power LLC