Mr Kim Jong Won (left) and Mr Soulixay Xayasane shake hands after signing the MOU at a ceremony in Vientiane on Friday.

Laos, South Korea to begin feasibility study on hydropower production

Laos may be able to produce green hydrogen power through water electrolysis equipment with excess electricity from hydropower plants in the country.
A memorandum of understanding (MOU) for feasibility research on green hydrogen power production in Laos was signed by the Duangchaleurn Development Construction Group Sole Company Limited (DDC) of Laos and the Hydrolux Company Limited of South Korea at a ceremony in Vientiane on July 8.
The MOU was signed by the CEO of Hydrolux Co Ltd, Mr Kim Jong Won, and the President of DDC, Mr Khamphay Silaxa. The signing was witnessed by officials and representatives of the related sectors from both sides.
Hydrolux plans to carry out a preliminary study for establishing green hydrogen production infrastructure based on a Lao hydropower plant.
The vice president of DDC, Mr Soulixay Xayasane, said the feasibility study will look at hydropower plants across the country, and will be completed in about 10 months.
“If the study goes well, we will continue to the next step of installing a green hydrogen power production system, and production will be exported to Korea,” he said.
“Energy infrastructure in Laos is being developed and expanded. We believe that this project, once feasible, will create job opportunities for the locals and income for the country,” he added.
This project could address Lao’s electric power imbalance between the dry and rainy seasons, and also generate profits through electricity export, hydrogen trading and carbon credit trading.
According to the Ministry of Energy and Mines, about 1,500 MW of potential electricity generation is wasted by hydropower stations during the high-flow wet season, though the country is facing the challenge of an electricity shortage during the dry season. This forces the government to import electricity from neighbouring countries.
Therefore, Hydrolux wishes to produce hydrogen through water electrolysis equipment with excess electricity, and then store the hydrogen in Hydrolux storage alloy for future use.
The hydrogen will then be supplied to fuel cells in order to produce electricity, when additional power is needed.
Hydrolux believes Laos has the foundation to become the best green hydrogen producer in the Asean region in future, as it has a large number of hydropower plants and also due to the country’s geographical advantage as a logistics hub in the Asean region, potentially for EU countries in future though the Laos-China Railway.
Korean companies will invest capital and technology to begin the project as soon as profitability and development possibilities are verified through the feasibility study.
“Due to domestic market saturation, Korean energy companies are looking for global project development opportunities, especially in renewable energy. We hope Korean technology can be used in diverse energy sectors to level up Lao energy sustainability and to make Laos a greener country,” said the President of Energy Future Forum of Korea, Mr Kim Jung-Gwan.

By Souksamai Boulom
(Latest Update July 11, 2022)