BT20 National Highway 20

active

The project consists of the rehabilitation and upgrading of the National Highway 20 that extends from the Dong Nai to Lam Dong provinces of Vietnam, under a build-transfer contract between the BT20 Consortium and the Ministry of Transportation. The project is split into two phases. The first phase entails the construction of 123km of highway from the Dau Giay intersection in Dong Nai Province to Provincial Road 725 in Lam Dong Province. The second phase will stretch 145km from Bao Loc city to Dran Town, both in Lam Dong Province. Proceeds will be used for the rehabilitation and upgrading of the National Highway 20 that extends from the Dong Nai to Lam Dong provinces of Vietnam, under a build-transfer contract between the BT20 Consortium and the Ministry of Transportation. The NH20 road is a critical connector road for the Ho Chi Minh City-Dalat (Central Highlands - South Central Coastal Ports) corridor, and its proposed upgrade and rehabilitation is expected to result in travel time savings, improved road safety, and reduced vehicle operating costs. The proposed project is also expected to supporting the economic growth and development of the Central Highland area, home to a high concentration of impoverished ethnic minority groups. Equity Sponsor: Dong Mekong Construction (50%) Public PetroViet (30%) Cuu Long Corporation (10%) Building Material Corporation (10%) $12.75m USD PetroVietnam 30 $7.65m USD Cuu Long Corporation 10 $2.55m USD Building Material Corporation (Vietnam) 10 $2.55m USD On March 7, 2014, MIGA issued a guarantee of $500 million covering a loan from a syndicate of commercial banks to support the construction financing of the BT20 National Highway 20 Project in Vietnam. Sumitomo Mitsui Banking Corporation (SMBC) is serving as the political risk insurance agent for the lenders that include Goldman Sachs as the lead arranger and 10 other international commercial banks. The coverage is for $500 million against the risk of non-honoring of sovereign financial obligations for a period of up to 15 years.