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Bangladesh has signed a deal with Siemens of Germany to build the country's largest LNG-based power plant.
The groundbreaking deal worth USD 2.8 billion was signed on Sunday to install a 3,600-megawatt plant in the southern district of Patuakhali's Payra, which also boasts a seaport.
The agreement between state-owned North-West Power Generation Company Ltd and Siemens has been signed in Dhaka on Sunday.
North-West Managing Director AM Khurshedul Alam and Siemens South Asia CEO Sunil Mathur signed the memorandum of understanding or MoU.
State Minister for Power, Energy and Mineral Resources Nasrul Hamid told bdnews24.com on Saturday that the project is expected to start by June next year.
The estimated cost of the project is $ 2.8 billion, according to a statement by the government's power division.
Nasrul also said that 80 per cent of the cost is expected to come as loans.
According to him, Siemens would also construct another 3500MW power plant at Maheshkhali in Cox's Bazar.
A MoU between the Power Development Board (PDB) and the firm for the Maheshkhali plant will be inked soon, he said.