US energy group ContourGlobal and Kosovo’s government said on Friday that General Electric (GE) has been selected as the preferred bidder for the construction and long-term maintenance of Kosova e Re, a 500 MW coal-fired power plant expected to cost around 1.3 billion euro ($1.5 billion). GE and ContourGlobal expect to engage in further negotiations and to reach an agreement on final terms, the joint statement said, according to Seenews.

In September four pre-qualified companies were invited to submit their technical and financial proposals after in June ContourGlobal launched the initial selection of applicants to provide the turnkey engineering, procurement and construction contract for the plant. In October ContourGlobal reiterated its commitment to the project despite a statement from the World Bank president that the lender will not support it.

In December 2017, Kosovo’s government signed an agreement with ContourGlobal to launch the construction of Kosova e Re. The new power plant will be operational by 2023, Kosovo’s economy and development ministry said at the time. The life span of the future power plant is estimated at 40 years.