Song Thao Cement Joint Stock Company
The Song Thao Cement Joint Stock Company opened the Song Thao Cement Plant on November 22, 2009, in Ninh Dan commune, Thanh Ba district, Phu Tho province. Prime Minister Nguyen Tan Dung was there to cut the opening ribbon. On this occasion, Vietnam Economic News’ reporter Huong Chi spoke with Le Minh Hai, the deputy general director of the Song Thao Cement Joint Stock Company.
It is said that the Song Thao Cement Plant is an EPC (engineering-procurement-construction) trial project of the Ministry of Construction. What are the highlights of the project?
The Song Thao Cement Plant Project was built on 42 ha of Ninh Dan commune in Thanh Ba district, Phu Tho province, with a capacity of one million tonnes of cement annually. The Prime Minister granted an investment license to the project on March 5, 2004. The project includes a production line system, power and water supply systems, material resources, roads, trees, accommodations and entertainment facilities, which were built at a total cost of VND1,671 billion.
On September 30, 2009 the plant launched the first tonne of clinker and on November 22, 2009 it was opened becoming the most modern and most automated project of its kind in Vietnam. It is expected that the plant will contribute significantly to socioeconomic development in Thanh Ba district in particular and in Phu Tho province in general by creating stable, high income for about 600 people most living in the province.
The Song Thao Cement Plant was the first project in Vietnam to try the EPC model. The EPC is represented by LILAMA and includes the Housing and Urban Development Corporation (HUD), the Vietnam Machinery Installation Corporation (LILAMA), the Tianzin Development Research Institute of China and the Construction Material Project Consultant Joint Stock Company. Vietnam is entirely eligible to choose technology, equipment, design, processing, manufacture, installation, operation and technology transfer for construction of a cement plant with a local content at 60 percent (regarding the quantity of equipment) or 35 percent (regarding the cost of equipment).
That the project was open proves the success of the EPC model, which is reflected through the quality of construction sub-projects, production lines, design, construction, processing, installation and evaluation/approval following a strict management process. This model has made use of many advantages during the development of the project and marked a progress in the program to build capacity for design consultation and manufacture of domestic equipment. After the project, the EPC and the contractors have withdrawn many experiences and grown up.
What are key products from the plant and what are the differences between them and other products of the same kind available in the market at this time?
The plant has launched PC40, PCB40 and PC50 cement, which are energy efficient and environmentally friendly. PC50 cement is to meet the need of the market in general and HUD in particularly, for construction of high-rise strong buildings.
Particularly, Song Thao-brand cement is made using the latest technology and good-quality limestone and clay reserves near the plant.
What are the key markets for Song Thao cement?
The markets for our cement are in 14 northern provinces, which are divided into three groups: Phu Tho, Vinh Phuc, Yen Bai and Tuyen Quang (a key market), Hanoi and Bac Ninh (a strategic market) and Bac Giang, Lang Son, Lao Cai, Lai Chau, Hoa Binh, Son La and Ha Giang (a targeted market). At this time, the company sells the products through regional distributors that know local business practice very well. Under the business motto, “Service for Development”, the company will try to sell the best products to end-users./.
VEN
Tags: Vietnam cement industry, Vietnam enterprise