On July 1, news from the People's Committee of Quang Tri province said that the provincial leaders had just signed a decision approving the investment policy; at the same time approving the investor for Nam Tien Company Limited to implement the project of building a conveyor system to transport coal from Laos to Vietnam (section within the territory of Vietnam).

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In 2023, Quang Tri will import 2.2 million tons of coal from Laos. Photo: Quang Thanh

The goal when the project is completed and put into use is to contribute to ensuring energy security in the 2021-2030 period, meeting part of the domestic coal consumption demand, serving economic development.

At the same time, reduce pressure on customs clearance of goods at La Lay International Border Gate, overcome traffic congestion on National Highway 15D.

According to the decision of the People's Committee of Quang Tri province, the coal conveyor line with a total length of 6,115m will connect with the conveyor section in Laos, the starting point of the line is at the Vietnam - Laos border, the end point of the line is at the warehouse on the Vietnamese side (section of A Deng village, A Ngo commune, Dakrong district, Quang Tri province).

In terms of scale, the project has an expected land area of ​​23.82 hectares located in A Ngo commune. The project's designed capacity is 30 million tons/year. Of which, phase 1 has a capacity of 15 million tons/year.

Regarding the investment phase of the project items, in phase 1, we will invest in a conveyor line with a total transport capacity of 3,000 tons/hour (equivalent to 15 million tons/year). The conveyor line is arranged with 2 conveyors with a capacity of 1,500 tons/hour each, located parallel on a common system of columns, trusses, and bridges.

Phase 2 (expected to be invested in 2030), the project will invest in an additional conveyor line with a total transport capacity of 3,000 tons/hour (equivalent to 15 million tons/year), running parallel and close to the conveyor line of phase 1.

Regarding progress, in phase 1, the project is expected to start construction in the third quarter of 2025; equipment installation and other auxiliary works will be in the fourth quarter of 2026. By the first quarter of 2027, the project will be accepted and put into operation.

Phase 2 is expected to start construction in the second quarter of 2030; equipment installation and other auxiliary works in the second quarter of 2031 and acceptance and operation in the fourth quarter of 2031.

The project has a total investment capital of 1,489.27 billion VND. Of which, the owner's equity is 297.85 billion VND, accounting for 20% of the total investment value of the project; loans from commercial banks: 1,191.41 billion VND, accounting for 80% of the total investment value. The project's operation period is 30 years from the date of approval of the investment policy and approval of the investor.

The demand for transporting coal from Laos to Vietnam through the border gate of Quang Tri province for export through seaports is estimated at about 20 to 30 million tons per year, but the infrastructure is not yet synchronous, so Quang Tri is looking for a convenient transportation route.

Based on the above reality, the People's Committee of Quang Tri province has sent a document to the Government Office and the Ministry of Industry and Trade proposing a plan to transport coal from Laos to Vietnam, through La Lay International Border Gate.

According to PV's investigation, Nam Tien Company Limited was first granted a business registration certificate by the Thai Nguyen Department of Planning and Investment on March 22, 2006; the 10th change was on April 23, 2020. The enterprise has a charter capital of 165 billion VND.

According to the Quang Tri Department of Finance, Nam Tien Company Limited has provided financial reports for 2022 and 2023, which have been independently audited.

According to the report, some financial indicators at the end of March 31, 2024 are determined as follows: Enterprise equity is 384.3 billion VND; of which contributed capital is 268 billion VND; undistributed profit after tax is 46.3 billion VND; remaining working capital is 227.5 billion VND.

The company's cash and cash equivalents are 70.8 billion VND; short-term debt payable is 1,232.5 billion VND; inventory is 193.6 billion VND; debt to equity ratio is 3.27 times.