Business

Vingroup To Invest $15.7 Billion In Ports and Logistics

Vietnam’s biggest conglomerate Vingroup on Monday has announced that it was planning to invest $15.7 billion in the Nam Do Son Port and Logistics Center project, marking a strategic expansion into port infrastructure and logistics.

According to the company’s official disclosure, the Nam Do Son Port and Logistics Center will be located within the Southern Coastal Economic Zone of Hai Phong, spanning across Kien Hai Commune and Nam Do Son Ward.

The project is divided into three phases: phase 1 (2026–2030), phase 2 (2031–2035), and phase 3 (2036–2040) and the total area of land, water, and development space for the project is projected to cover 4,394.5 hectares, with 4,319.1 hectares proposed for direct investment.

This includes the port area, the water surface in front of the berth, the post-port logistics center, and the main shared access road stretching from the endpoint of the state-developed post-port route to the outer boundary of the project site.

The total estimated investment is around $15.7 billion, with phase 1 budgeted at approximately $1.22 billion, phase 2 at around $8.7 billion, and phase 3 at around $5.8 billion. Of the total investment, about 15% will be contributed capital, while the remaining 85% is expected to be raised through financing. The project’s operational duration is set for 70 years.

Renewable Energy Projects

The company has also submitted a proposal to the government in March this year to include a series of large-scale renewable energy and liquefied natural gas (LNG) power projects, with an estimated investment of $25-$30 billion, into the revised Power Development Plan VIII by 2030.

The proposed projects will be developed based on the criteria outlined by the Ministry of Industry and Trade.

Additionally, to maximise project efficiency and align with power capacity distribution standards, Vingroup has taken into consideration several additional criteria, such as identifying provinces with potential land resources, assessing connectivity potential, and prioritizing areas near major load centres to establish large-scale energy hubs with capacities exceeding 5 GW.

These hubs would capitalise on favourable wind and solar radiation conditions while selecting technologies and locations that optimize development time, production efficiency, and financial returns.

Regarding renewable energy, Vingroup aims to implement a total capacity of 47,500 MW from 2025 to 2035, with the first phase from 2025 to 2030 accounting for 20,500 MW, requiring an estimated investment of $20-$25 billion.

As for LNG power, Vingroup has proposed the inclusion of an LNG power plant in Hai Phong to offset the capacity of several large-scale thermal power projects facing delays, such as Nam Dinh I BOT Thermal Power Plant (1.2 GW), Quang Tri BOT Thermal Power Plant (1.32 GW), Vinh Tan III BOT Thermal Power Plant (1.98 GW), and Song Hau II BOT Thermal Power Plant (2.12 GW).

The Hai Phong LNG power plant will have a capacity of 5 GW, with implementation planned from 2025 to 2030, and an estimated investment of $5.5 billion.

Global Business Magazine

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