Korea Electric Power Corp. (KEPCO) and Korea East-West Power Co. (EWP) announced on Nov. 11 that they have signed a power sales contract with Guam Power Authority.
Under the contract, a consortium formed by KEPCO and EWP will build and operate Ukudu 198 MW Combined Cycle Power Plant and sell the electricity to Guam Power Authority (GPA).
The consortium will build a 25 MW energy storage system (ESS) and a 65 MW diesel engine, together with the combined cycle power plant, in the Ukudu region of Dededo in northeastern Guam.
The consortium will finance, build and operate the power plant, while the client provides fuel free of charge. Electric power produced by the power plant will be sold to GPA for the next 25 years.
The KEPCO-EWP consortium is expected to secure a total of 2.3 trillion won through power sales over the 25 years. In particular, Korean EPC companies and various small and medium-sized Korean companies will supply facilities for the power plant and related auxiliary equipment. This is expected to generate 628.6 billion won in economic effects.
Ground will be broken for Ukudu Combined Cycle Power Plant in August of next year. The power plant is scheduled to begin commercial operation in October 2022.