Chinese firm, Viet logistics company to develop container port
China Merchants Group (CMG), a leading Chinese multi-business company has entered into a memorandum of understanding with a state-run shipping giant to develop a container port in southern Vietnam.
The signing Tuesday came as the third cooperative agreement between the group and Vietnam partners over the last three days, an effort by CMG to deepen its presence in the country.
Under the agreement between CMG and the Vietnam Shipping Lines Corp. (Vinalines), the two groups will cooperate to turn Ben Dinh-Sao Mai port in the Ba Ria – Vung Tau Province into a complex supplying oil and gas services, logistics, container handling services and a petroleum depot.
The master zoning plan for seaports prepared by the Ministry of Transport and Communications details the Ben Dinh-Sao Mai port as one of 30 key national projects for development in the 2006-2010 period.
The project requires about US$637 million, and is designed to accommodate up to 100,000 tons and have a handling capacity of 25-50 million tons per year.
CMG ranks among the top three public port operators in the world for transportation and infrastructure; financial investment and asset management; and property development and management.
Vinalines has designs on diversifying into one of the leading marine groups in Southeast Asia by 2010, with revenue targets of more than VND20 trillion (US$1.2 billion) and VND50 trillion ($3.1 billion) by 2020.
It plans to raise VND51 trillion ($3.2 billion) between 2006 and 2010 to invest in its shipping fleet and upgrade its ports.
Vinalines is also looking to develop the Van Phong port in central Khanh Hoa Province into a modern international entrepot.
The first phase of building plans for logistical and maritime services nationwide is set for completion in 2010.
The company has worked out plans to develop its operations into finance, banking, insurance, securities, electricity, infrastructure construction, real estate and tourism.
This year it targeted to transport 24.8 million tons of cargo – a year-on-year jump of 8 percent, a record revenue of VND12 trillion ($750 million).
The company plans to purchase 29 more vessels with total capacity of 692,000 DWT (dead-weight-tons).
Vinalines has held talks with domestic and foreign banks such as City Group, Credit Suisse, Deutsch Bank and Mizuho to secure credit for its planned projects.
Last year, it recorded a cargo volume of 23 million tons, earning the company a record annual revenue of VND11 trillion ($688 million), bringing in profits of VND551 billion ($34.4 million).
The signing Tuesday came as the third cooperative agreement between the group and Vietnam partners over the last three days, an effort by CMG to deepen its presence in the country.
Under the agreement between CMG and the Vietnam Shipping Lines Corp. (Vinalines), the two groups will cooperate to turn Ben Dinh-Sao Mai port in the Ba Ria – Vung Tau Province into a complex supplying oil and gas services, logistics, container handling services and a petroleum depot.
The master zoning plan for seaports prepared by the Ministry of Transport and Communications details the Ben Dinh-Sao Mai port as one of 30 key national projects for development in the 2006-2010 period.
The project requires about US$637 million, and is designed to accommodate up to 100,000 tons and have a handling capacity of 25-50 million tons per year.
CMG ranks among the top three public port operators in the world for transportation and infrastructure; financial investment and asset management; and property development and management.
Vinalines has designs on diversifying into one of the leading marine groups in Southeast Asia by 2010, with revenue targets of more than VND20 trillion (US$1.2 billion) and VND50 trillion ($3.1 billion) by 2020.
It plans to raise VND51 trillion ($3.2 billion) between 2006 and 2010 to invest in its shipping fleet and upgrade its ports.
Vinalines is also looking to develop the Van Phong port in central Khanh Hoa Province into a modern international entrepot.
The first phase of building plans for logistical and maritime services nationwide is set for completion in 2010.
The company has worked out plans to develop its operations into finance, banking, insurance, securities, electricity, infrastructure construction, real estate and tourism.
This year it targeted to transport 24.8 million tons of cargo – a year-on-year jump of 8 percent, a record revenue of VND12 trillion ($750 million).
The company plans to purchase 29 more vessels with total capacity of 692,000 DWT (dead-weight-tons).
Vinalines has held talks with domestic and foreign banks such as City Group, Credit Suisse, Deutsch Bank and Mizuho to secure credit for its planned projects.
Last year, it recorded a cargo volume of 23 million tons, earning the company a record annual revenue of VND11 trillion ($688 million), bringing in profits of VND551 billion ($34.4 million).