Thu. May 16th, 2024

Construction halted on new deepwater port

BINH THUAN (VNS)— The construction of Ke Ga deep water port in central Binh Thuan Province has been halted due to a reduction in bauxite production, one of the main sources of income for the port.

Investor Viet Nam National Coal and Mineral Industries Group (Vinacomin) said the Ke Ga port was planned to take bauxite from mines in Tay Nguyen (Central Highlands), with a maximum capacity of 3.5 million tonnes per year by 2015, 17.5 million tonnes by 2020, 27 million tonnes by 2025 and 37 million tonnes by 2030.

However, bauxite production at Tan Rai and Nhan Co alumina projects in Dak Nong Province was expected to reach only 1.3 million tonnes and transport of both coal and bauxite by 2020 were estimated to total only 2.5 million tonnes per year.

Vinacomin general director Le Minh Chuan said the company had decided to halt its construction in the early stages. Binh Thuan’s existing Vinh Tan Port would be expanded to transport coal for the southern region.

Vinacomin said the decision would not affect the alumina and bauxite projects at Tan Rai and Nhan Co because they were in the first phase with low output.

Meanwhile, Vinacomin was working with Transport Engineering Design Inc on an appropriate scale and location for a port to coincide with bauxite-alumina mining and production plans and local economic development.

The Ke Ga project halt was also expected to have impacts on tourism companies and residents.

Vinacomin would work with the provincial authorities to deal with any problems that may arise, Chuan said. Vinacomin had already compensated local residents to a total of VND27 billion (US$1.28 million).

Compensation for tourism investors who had made room for the port project during its first phase was estimated at VND30 billion ($1.42 million). Vinacomin would also work towards compensating eight resort investors who were affected in the project’s second phase, he said. — VNS

By vivian