The management board of Vung Ang Economic Zone in the central province of Ha Tinh handed over last Friday 3,300 ha of land and sea surface to Taiwan's Formosa Group, investor in a US$16billion industrial complex.
The project includes a 7.5 million ton/year steel mill, a 1,600MW power plant, and the Son Duong Seaport which will have a handling capacity of 30 million tons of cargo per year.
The area comprises more than 1,900ha of land and over 1,300ha of sea surface.
Ha Tinh authorities said nearly 2,500 households with a population of more than 10,000 in the communes of Ky Lien, Ky Long, Ky Loi and Ky Phuong in Ky Anh District had moved to new re-settlement areas during the site clearance process which lasted over two years.
Members of families affected by the project received over VND1.9 trillion ($100 million) in site compensation and had been supported by the province's job-training programs, the authorities said.
In addition to the site clearance, the authorities also built a canal over 10km long to supply water to the refinery and a 5.2-km road for transporting heavy machinery and equipment for construction of the Son Duong Deep water Sea port.
According to Sai Gon Economic Times newsmagazine, the Taiwanese group has also decided to raise investment in the first stage of the project from $7.9 billion to $8.9 billion.
Total investment of the two stages of the project amounts to $16 billion.
The project is expected to employ 10,000 local workers when the first stage is completed and the figure can increase to 30,000 after completion of the second stage.
Chu Xuan Pham, an engineer with Hung Nghiep Formosa Co, said construction of the steel refinery would be completed in 36 months and building of Son Duong Port to be completed in 48 months as required in the company's investment license.
