Formosa group pours extra $7b in Vung Ang EZ

Taiwan-based Formosa Group will pour extra $7 billion to raise its investment in the Vung Ang Economic Zone from $16 billion to $23 billion, Ngo Quoc Hung, the group’s general director stated.

According to Hung, the additional capital will consist of equity capital and loans from foreign banks but not from Vietnam’s banks.

After preparing the ground, the group will build its first wharf in 36 months and an iron foundry and steel mill in 48 months.

In the first phase with the total investment of $7.9 billion, the iron foundry and steel mill will have a combined output of 7.5 million tonnes a year and Son Duong deep-water port will be able to handle 27-30 million tonnes of cargo.

Hung said that the group will carry out the project in line with its commitments to the Vietnamese government and Ha Tinh province. Initially, the group will invest nearly $200 million, including more than $30 million for land rental.

Tags: Formosa Group, Vung Ang Economic Zone

Posted by VBN on Aug 7 2010. Filed under Investment. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry