Stake in Vietnamese-Hungarian firm sold

PHI Group, Inc., a company focused on energy and natural resources, announced that it has signed an agreement to acquire a 51% equity interest in Vietnam-Hungary Technological Application Joint Stock Company (VHC), a Vietnamese company engaged in breakthrough renewable energy using a combination of innovative solar energy and wind power technologies developed in Hungary.

VHC has been granted a license by Phu Quoc Island Investment and Development Authority to build power generating facilities in an area of 8.7 hectares in Hon Thom Island in Vietnam using both solar energy clusters and wind power modules, to initially provide a peak output of 1,270 KW of electricity to residents of Phu Quoc Island, a well-known tourist destination currently not connected to the national grid of electricity in Vietnam, PHI Group said in a press release. VHC says these combined innovative technologies have proven to be several times more efficient than existing systems currently in the marketplace, based on productivity, durability and investment outlay.

VHC expects to begin generating revenues from the sale of electricity directly to end users within sixty days following the receipt of equipment shipments. With the initial capacity, VHC will also receive credit for six tons of CO2 per day at the price of USD 18 per ton as stipulated by the Vietnamese government. After the completion of the first phase of this project, VHC intends to increase capacity to 50 MW to meet the growing demand for electricity in the energy-starved Island of Phu Quoc.

VHC believes these combined technologies can be economically applied not only in Vietnam but also in other countries, as well. The company intends to expand its operations to Indonesia and the Philippines both of which have a large number of islands not connected to the national electricity grids.