Work on $480m chemical complex to begin in June

Friday, Mar 22, 2024 14:45

Nghi Sơn Economic Zone in Thanh Hoá Province. — Photo

Construction of Đức Giang-Nghi Sơn chemical complex, expected to cost VNĐ12 trillion (US$480 million), will begin in the central province of Thanh Hoá in June.

Covering about 30ha in Nghi Sơn Economic Zone, the complex has a designed production capacity of 136,000 tonnes of product annually, quoted its investor - Đức Giang Chemical Group JSC as saying.

The construction will be divided into three phases. The first has a total investment capital of VNĐ2.4 trillion.

Once fully operational, the complex is expected to earn an annual revenue of over VNĐ10 trillion, creating 1,500 jobs.

Currently, Đức Giang Chemical Group JSC said it targeted many large customers in the Nghi Sơn Economic Zone such as Nghi Sơn Refinery, Nghi Sơn Thermal Power Plant and ones in neighbouring localities like Thái Bình 2 and Nam Định thermal power plants.

Earlier last year, KB Securities Vietnam forecast that the complex would be completed in Q2/2025 and contribute about VNĐ670 billion in 2025 revenue to the Đức Giang Chemical Group JSC with gross profit margin of 12 per cent.

In the following years, revenue from the projects would grow at a compound annual growth rate of 20 per cent until reaching a revenue level with maximum capacity of VNĐ1.5 trillion each year, KB Securities Vietnam said.

Đức Giang Chemical is a State-owned enterprise established in 1963 and specialises in washing powder production. It currently has nine member units nation-wide. — VNS

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