AES Announces Sale of Mong Duong 2 Plant in Vietnam in Next Decarbonization Milestone

ARLINGTON, Va., Nov. 30, 2023 /PRNewswire/ -- The AES Corporation (NYSE: AES) announced it has reached an agreement with Se.ven Global Investments to sell its 51% equity stake in the Mong Duong 2 coal-fired plant in Vietnam. Following approvals by the Government of Vietnam and the Ministry of Industry and Trade, the anticipated close for the transaction is in line with AES' intent to exit the majority of its coal assets by the end of 2025.

The 1,242 MW plant has been in operation since 2015, delivering power to Hanoi and northern Vietnam under a 25-year Power Purchase Agreement (PPA) with state-owned utility Vietnam Electricity (EVN). 

"AES values its strong business relationship with Vietnam, where we have been a strategic partner delivering reliable power while supporting Vietnam's long-term energy transition goals," said Juan Ignacio Rubiolo, AES EVP and President, Energy Infrastructure. "This sale would advance AES' low-carbon goals while enabling AES to continue to play a role advancing diverse energy solutions to meet the growing electricity demand in the country."

Based in Czech Republic, Se.ven is a family-owned company with expertise developing and operating conventional power plants and mining assets around the world.

AES continues to develop the 450 TBTU Son My LNG terminal with PetroVietnam Gas (PV Gas), which received Investment Policy Approval by Binh Thuan People's Committee in July 2023, and the 2,250 MW Son My 2 combined cycle gas power plant in Vietnam.

About AES

The AES Corporation (NYSE: AES) is a Fortune 500 global energy company accelerating the future of energy. Together with our many stakeholders, we're improving lives by delivering the greener, smarter energy solutions the world needs. Our diverse workforce is committed to continuous innovation and operational excellence, while partnering with our customers on their strategic energy transitions and continuing to meet their energy needs today. For more information, visit www.aes.com.

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This news release contains forward-looking statements within the meaning of the Securities Act of 1933 and of the Securities Exchange Act of 1934. Such forward-looking statements include, but are not limited to, those related to future earnings, growth and financial and operating performance. Forward-looking statements are not intended to be a guarantee of future results, but instead constitute AES' current expectations based on reasonable assumptions. Forecasted financial information is based on certain material assumptions. These assumptions include, but are not limited to, our expectations regarding accurate projections of future interest rates, commodity price and foreign currency pricing, continued normal levels of operating performance and electricity volume at our distribution companies and operational performance at our generation businesses consistent with historical levels, as well as the execution of PPAs, conversion of our backlog and growth investments at normalized investment levels, rates of return consistent with prior experience and the COVID-19 pandemic.

Actual results could differ materially from those projected in our forward-looking statements due to risks, uncertainties and other factors. Important factors that could affect actual results are discussed in AES' filings with the Securities and Exchange Commission (the "SEC"), including, but not limited to, the risks discussed under Item 1A: "Risk Factors" and Item 7: "Management's Discussion & Analysis" in AES' 2022 Annual Report on Form 10-K and in subsequent reports filed with the SEC. Readers are encouraged to read AES' filings to learn more about the risk factors associated with AES' business. AES undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except where required by law.

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Investor Relations: Susan Harcourt 703-682-1204, [email protected]
Media Contact: Stephanie Cathcart 571-294-6824, [email protected]

SOURCE AES CORP.