Hoa Phat eyes seaport, steel complex projects in Phu Yen province

Vietnamese conglomerate Hoa Phat Group has proposed to invest in four major projects in the South Phu Yen Economic Zone in the central coastal province of Phu Yen.

They are Hoa Tam Industrial Park (IP), Bai Goc Port, Hoa Phat Steel Complex, and a commercial and service site. The Hoa Tam IP and Bai Coc Port are parts of the economic zone, while the other two projects are located in the IP.

Hoa Phat, Vietnam's largest steel producer, presented the proposals at an investor conference held by the Standing Committee of the Phu Yen Party Committee for projects in the Hoa Tam IP on Wednesday.

Hoa Phat estimated its total investment for the four projects at VND120 trillion ($5.13 billion).

The four projects must be implemented within 36 months since they receive in-principle approval and land.

Regarding capital sources, Hoa Phat chairman Tran Dinh Long said his group will use its equity capital for 50% and the other half will come from loans.

The commercial-service project will be implemented synchronously with the investment in the Hoa Phat Steel Complex project.

The steel project is expected to employ about 12,000 people, with 80-90% from local sources.

According to the master plan on Vietnam's seaport system development for the period of 2021-2030, with a vision to 2050, approved by the Prime Minister in 2021, Bai Goc Port will serve the Hoa Tam IP.

The port will cover 220 hectares of land and water surface, and be 20-25 meters deep.

The Bai Coc Port and Hoa Tam IP projects are nuclear components of South Phu Yen Economic Zone. They play significant roles in Phu Yen's socio-economic development, especially its marine economy.

The port will include a general berth, a specialized berth for steel factories, a specialized berth for oil refineries, a specialized berth for liquid and gas cargo, and logistics areas.

PETMAL Oil Holdings (Malaysia) has also proposed to build a modern refinery and petrochemical complex in Phu Yen, with a capacity of 8 million tons of crude oil per year. The project will have total investment capital of $5 billion, covering 500 hectares of land and 500 hectares of water surface.