Hòa Phát to build iron and steel production complex
Hòa Phát to build iron and steel production complex
The Dung Quat Economic Zone Authority (DEZA) and Quang Ngai Industrial Park Management Board on Monday granted an investment certificate for the Hoa Phat Dung Quat iron and steel production complex to the Hoa Phat Group.
Construction will resume on the Guang Lian Dung Quat steel project, which had its investment certificate revoked in early September. It will take up 372.7 hectares with a total investment capital of VND60 trillion (US$2.65 billion).
Of the area, nearly 340 ha will be used for building factory and 27 ha for building a specialized port.
The project was designed to have an annual capacity of four million tonnes of steel products, including steel for construction and rolled steel. It is expected to be completed in four years.
The project, divided into two phases, will be equipped with modern and environmentally-friendly technologies.
The annual capacity of the first phase will include one million tonnes of steel for construction and one million tonnes of high-quality rolled steel. The second phase is designed to produce two million tonnes of hot-rolled steel flat bar for machinery manufacturing.
Hoa Phat Group expects to earn US$2 billion in revenue per year and contribute VND4 trillion to the State budget after the project comes into operation.
An estimated 8,000 jobs will be created for local residents.
Speaking at the certificate granting ceremony, Chairman of Quang Ngai People’s Committee Tran Ngoc Cang said the province would create favourable conditions for investors to complete its investment.
Cang required the DEZA, management boards of IPs and authorities of Binh Son District to support the investor and solve arising problems if it occurred to help the investor carry out the project following its set progress.
The project will be conducted over 50 years. It is part of the plan to develop a steel production and distribution network from now to 2020 and in a vision to 2025 approved by the Ministry of Industry and Trade.
It was approved by the Prime Minister on January 25.
