Chemicals giant proposes $2.47 bln projects in Central Highlands

Duc Giang Chemicals Group, one of Vietnam’s industry leaders, is proposing to invest about VND57,300 billion ($2.47 billion) in two factories in the Central Highlands province of Dak Nong.

In a meeting with provincial authorities Wednesday, the company reported research and survey results pertaining to the Duc Giang-Dak Nong fertilizer factory project.

The project aims to produce NPK fertilizer, which includes nitrogen, phosphorus, and potassium elements, with a capacity of 200,000 tons per year, as well as potassium sulfate fertilizer at a total 4,800 tons per year. Capitalized at $12.95 million, the project will be completed in 12 months.

Duc Giang Chemicals, listed on the Ho Chi Minh City Stock Exchange (HoSE: DGC), also disclosed its intention to invest in an aluminum complex in Dak Nong.

During the meeting, DGC received provincial approval to research a bauxite mine in Tuy Duc and Dak Song districts, as well as the placement of the aluminum processing facility in Dak Song district.

The project seeks to mine about 14.4 million tons of bauxite ore annually. It also includes three ore refineries with a combined annual capacity of 5.8 million tons of refined ore. The project's total investment in both phases will be $2.46 billion.

In March, DGC approved the establishment of its wholly-owned subsidiary Duc Giang-Dak Nong Chemical Ltd. With a charter capital of $12.95 million, the firm is headquartered in Tam Thang Industrial Park, Dak Nong province.

DGC’s main business lines include manufacture and sale of raw materials and chemical products for industry and agriculture.

The company reported a revenue and profit after tax of $157 million and $65 million in the first quarter of 2022, up 86% and five times higher year-on-year.

DGC plans to achieve revenue of $523.3 million and profit after tax of $151 million in 2022, up 26% and 39% from 2021.