Korea Export-Import Bank Yeouido Headquarters
The Export-Import Bank of Korea (Korea Eximbank) announced on Dec. 19 that it will provide a total of $241 million in financing for the Guam Yona solar power generation project secured by Korea Electric Power Corporation, Korea East-West Power Co., and Samsung C&T Corporation.
This financial support consists of a $150 million project finance (PF) loan and a $91 million equity-backed loan (EBL) to support project owners, provided as a customized package for Korean companies’ overseas expansion.
The project involves the construction and operation of a solar power plant (132MW capacity) and battery energy storage system (BESS, 325MWh capacity) in the Yona region of Guam, with an expected annual power generation of 222GWh, which exceeds the combined annual average power consumption of 20 thousand Guam households (211GWh).
The total project cost exceeds $500 million, and approximately 200 thousand solar panels will be installed on a 2.5 million square meter project site equivalent to 360 soccer fields.
Upon project completion, the generation capacity led by Korean companies in Guam will expand from the existing 258MW to a total of 390MW, exceeding half (55%) of Guam’s total generation capacity (708MW), with Korean companies expected to grow into key players in Guam’s power market through the Export-Import Bank’s financial support.
The Guam Power Authority (GPA), the project owner, commissioned this project as part of its renewable energy expansion program and plans to purchase all electricity produced from this project for 25 years.
The Export-Import Bank significantly contributed to securing the contract by enhancing Korean companies’ financing competitiveness through measures such as issuing letters of interest from the early bidding stage.
This project is particularly significant as Korean companies lead all aspects of the business, including 100% ownership, engineering, procurement, and construction (EPC, Samsung C&T), and operation and maintenance (O&M), and is noteworthy for establishing an important foundation for securing subsequent project orders in Guam.
An Export-Import Bank official emphasized, “This project had a very high need for the Export-Import Bank’s financial support as Korean companies can lead the entire project process and maximize national wealth creation,” adding, “We will continue to actively support Korean companies’ orders for eco-friendly energy projects such as solar power and offshore wind power to contribute to achieving global carbon neutrality and responding to the climate crisis.”
