Kompania Weglowa inks power plant deal with Mitsui
July 24, 2014
Polish coal miner Kompania Weglowa (KW) signed a deal with Japanese Mitsui on joint development of the Czeczott power plant project in Wola near Pszczyna, southern Poland, KW said in a press statement.
The deal splits the project into three phases.
In the first phase, the parties will negotiate deal on supplies of 3 million tons of coal to the power plant and on electricity purchases by KW from the power plant, terms of a deal with general contractor Mitsubishi Hitachi Systems and financing terms.
In the next phase, parties will sign deals and set up an SPV.
In the third phase, the partners will make a final decision on launching the project.
First construction works should start in 2016.
The power plant is expected to have one 1,000 MW power block. The cost is estimated at PLN 6 billion.