Indonesian firm PT Intra Asia Indonesia has signed a memorandum of understanding (MOU) with the Vietnamese government on a special port development project for coal transportation in South Vietnam.
The development of the port is intended to facilitate the need for coal exports from Indonesia to Vietnam for supply in power plants. In addition, the port will also have various facilities to accommodate export needs from Vietnam to Indonesia such as rice, kernel and clinker.
The investment value for the port project is estimated to be around USD 1 Billion, with cargo handling capacity of 15-20 MnT per year. The port will help to reduce logistics cost for coal imports.
Till date, Indonesia has exported more than 1.5 MnT coal to Vietnam, and is targeting coal exports of 4.5 MnT this year.
Officials from PT Intra Asia Indonesia have highlighted that the development of the port project can help facilitate the sustainable development of Indonesia’s coal mining projects and coal-fired power plants in Vietnam.
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