Bosnia: Gov talks with China Export bank over loan conditions for new TPP Tuzla unit

, SEE Energy News

Executive Director for Capital Investments at Bosnian power utility EPBiH Senad Salkic, who is leading the negotiation team for the construction of unit 7 at thermal power plant Tuzla, discussed the terms of the loan for the project with the representatives of Chinese Exim Bank.

The Bosnian delegation is in Beijing, conducting the final negotiations on obtaining the loan for the project, with the request that repayment period should be no longer than ten years, with five years grace period.

Salkic confirmed that he informed the representatives of the bank on EPBiH’s request, adding that the Chinese will make their final offer by the end of the week. He also said that the delegation will perform another round of talks with the representatives with the China Export & Credit Insurance Corporation (Sinosure), since he is not pleased with their current offer.

TPP Tuzla has 6 units with overall output of 715 MW. New unit 7 will be replacement capacity for units 1 and 2 (32 MW each), which have already been shut down and units 3 (100 MW) and 4 (200 MW) which should be put out of operation in 2018. The future unit 7 will have 450 MW of electric output combined with 300 MW of heat output, with annual generation of 2.75 TWh. When unit 7 is completed, it will provide almost a quarter of electricity produced by EPBiH. Total investment in unit 7 is over 722 million euros, of which 85 % will be obtained through a loan and 15 % will be financed by EPBiH’s own resources, transmits