Nexif Ratch Energy Investments has acquired the 30-megawatt Minh Luong run-of-river hydro power plant with peak hour storage located in Lao Cai province, Vietnam, a move that the company says will strengthen its growth path in renewables and create a stable, recurring income through a long-term power purchase agreement (PPA).

The plant, developed and constructed by the seller – Nam Tien Group – has been commercially operating since April 2018 with its electricity generation purchased by a subsidiary of state-owned electricity company EVN through a 20-year PPA.

Nexif Ratch is a joint venture company owned 51% by Nexif Energy of Singapore and 49% by Ratch Group of Thailand, with offices in Singapore, Thailand Australia, the Philippines and Vietnam.

“The acquisition of the plant further expands Nexif Ratch Energy’s operating portfolio in Vietnam,” says Matthew Bartley, the company’s director and interim CEO. “It builds upon our historically successful track record in small hydro in Vietnam and supplements our existing two operating/under-construction Song Giang hydro projects.”