Singapore-based Asiatech Energy has signed a financing agreement with United Overseas Bank (UOB) for a 230MW combined cycle gas-fired power plant in Mon State, Myanmar.
The project will be built in two phases and is expected to start producing an initial 43MW of power by the second quarter of 2014.
Only about a quarter of the country's population of 60 million people have access to electricity, according to the Asian Development Bank.
UOB managing director and head, group wholesale banking, Frederick Chin said the financing of Asiatech Energy's project is in line with the company's approach of supporting the businesses building the infrastructure that is necessary to drive the region's economic growth.
"As power is essential in the creation of new industries and jobs for Myanmar, we are honored to be able to partner with AsiaTech Energy to help deliver on the country's increasing demand for electricity," Chin said.
Asiatech Energy chairman Tang Weng Fei said, "Asiatech is delighted to be the first Singapore company to build a combined cycle gas-fired power plant in the Mon State of Myanmar to help serve the country's electrical needs."
The latest financing agreement follows UOB's partnership with US-based APR Energy for the construction of a 100MW power plant in the Mandalay region of Myanmar.
This was the first agreement signed by the Myanmar Government with a US-based company, since the lifting of sanctions in 2013.