Phu My Port

active

Baria Serece Joint Venture Company constructs a deep water port capable of handling ships of up to 40,000 tons on the Thi Vai river, 70 km from Ho Chi Minh City. Port construction began on 1 September, 1994. Phu My port entered full operations following a two-year period of construction in Oct. 1996. The port is the first privately invested and managed port in the country. The port has bulk handling facilities and an annual capacity of 600,000 tons. The total project cost is estimated at US$ 10 million. IFC provided a loan of US$ 3 million of its own funds and a syndicated additional US$ 2 million with Banque Indosuez. The Norwegian Agency for Development (NORAD) also provided a US$ 2 million loan. Baria Serece Joint Venture Company has 60 percent foreign and 40 percent local ownership. Local investors include a group of state-owned companies involved in the trading of fertilizers, agricultural goods, and general merchandise, and a local bank (DOCAM - 40%). Foreign investors include SCPA, a fertilizer supplier and a member of Entreprise Miniere et Chimique(EMC - 40%); SOGEMA, a subsidiary of SCPA, which handles cargo and operates dry bulk terminals in France; and Norsk Hydro (20%). SSI Logistics owned a 50% stake in Baria Serece, the owner/operator of Phu My Port by 2008 but in October Bunge Asia, the Asian operating arm of Bunge Ltd. acquired a 50% of SSI Logistics in the project company. The port launched the second stage of the development in 1997 with US$ 20-22 million of planned investment. None None