Danang sounds horn for investors in Lien Chieu Port infrastructure

Danang is looking for investors in the infrastructure that sets the foundations to put Lien Chieu Port underway

Danang People’s Committee has submitted a document requesting the prime minister's approval for the investment planning to call for private investment into the shared infrastructure part of the Lien Chieu Port project.

The infrastructure for calling investment is harbour area, container yard, warehouse complex, breakwater, pier, waterway, and transport system, among others. It is the part of Group A special maritime transport projects for which the government approved the investment planning and Danang People’s Committee granted the investment certificate.

This shared infrastructure will have the total investment capital of VND3.43 trillion ($149.13 million), 87.4 per cent of which is allocated from the state budget. More than VND2.99 trillion ($130 million) of the investment will go to cover construction costs, while the rest will go for the procurement of equipment and site clearance, among others.

This project will meet the demand for infrastructure to create the conditions for the development of the first two harbours which will be able to handle ships with the capacity of 100,000 DWT, as well as container ships of 6,000-8,000 TEU. The total cargo going through these harbours will be 3.5-5 million tonnes per year.

According to the project’s pre-feasibility study, Lien Chieu Port will become a major wharf area of an international gateway port in the central region.

Danang expected investment preparation to be finalised timelyand the project would begin construction and be put into operation during 2020-2022. Once completed, the port will ease the pressure on Tien Sa and Son Tra ports as well as urban traffic.

At present, the quantity of general cargo handled by Danang seaports is forecast to grow by 16.2 per cent on-year (22.6 per cent for container shipments).

The load is estimated to reach 10 million tonnes in 2020 and 30 million tonnes in 2030. Correspondingly, from 2020, the load will exceed not only the handling capacity of Tien Sa Port but also of transport infrastructure in the city centre, causing serious traffic congestions and badly affecting the environment as well as tourism growth.

Tien Sa Port is getting full to bursting and cannot be expanded, thus it is imperative to construct Lien Chieu Port and make it the new the international gateway to the country. The development of this seaport is of critical importance since it helps to maintain Danang’s position in the regional growth.