The JV Signing Ceremony

4:52:36 PM | 2/6/2009

In the tendency of the integration into the world economy and the globalization process, the cargo volume transported from Vietnam to the other countries has increased rapidly and this leads to the big need for the development of the Deep sea ports which are capable of accommodating the big vessels. Cat Lai port belonging to Saigon Newport company is now the biggest and most modern port in Vietnam but due to the limitation of the water draft and the channel depth, Cat Lai port is able to receive the vessel with maximum tonnage of 30,000 DWT (equivalent to the capacity of 2,000 Teus). Being the leading terminal operator in Vietnam, Saigon Newport company is also the one of first developers of the Cai Mep deep sea port in Tan Thanh district, Baria – Vung tau province since 2006. With the depth at berth is over 15 metres, Tan Cang- Cai Mep deep sea port can accommodate the vessel having the tonnage of 80,000 DWT (the equivalent capacity of 6,000 Teus). The Cai Mep Deep sea port project of Saigon Newport company has been divided into two phases. Phase I with 300 metres of berth length and 20 hectares of CY will be put into operation in the early second quarter of 2009, being the first deep sea port operational in the country. To attract the foreign shipping lines , upon the acceptance of the ministry of Defense and the Navy headquarters, Saigon Newport aims at establishing the partnership with the foreign shipping lines to manage and operate the Cai Mep deep sea port- phase 2.
 
The Cai Mep sea port phase two have the total area of 40 hectares including the two berths with 590 metres in length, the area for container yards and internal roads is 34 hectares, the depth at berth is over 15 metres and being able to accommodate the vessel having the tonnage of 80,000 DWT (the equivalent capacity of 6,000 Teus). Total investment capital of the project including the investment for the terminal facility and for handling equipment is USD 196,004,271 ( or VND 3,424,390 billion). SNP will make the total investment for the terminal facility construction including the berths, CYs, internal roads, water and electricity supply systems which cost about USD 96,668,969 (VND 1,688,903 billion) and then lease these facility items to the Tan Cang- Cai Mep international terminal company ( the joint venture of SNP with the foreign shipping lines). The joint venture will lease the terminal facility from Saigon Newport, make the investment into the terminal handling equipment, vehicles as well as the hardware and software management system, manage and operate the Cai Mep terminal – phase II.
 
On February, 4th 2009, in Ho Chi minh city, the signing ceremony took place between Saigon Newport and the three shipping lines for the establishment of the Tan Cang- Cai Mep international terminal company Ltd ( TCIT). The three foreign companies join the partnership with SNP are the Hanjin Shipping Co., LTD- the biggest shipping line in Korea, Mitsui O.S.K Lines Ltd – the biggest shipping line in Japan and Wanhai Line Ltd- the leading sea carrier in the Asian internal routes.
 
The TCIT will make the investment into the terminal equipment, vehicles and manage, operate the Tan Cang- Cai Mep international terminal ( Cai Mep- terminal phase 2). Operation term of the company is 30 years from the date of issuance of the Investment Certificate. Total Investment Capital of the company shall be USD 99,335,302 ( equivalent to VND 1,736 billion). Chartered Capital of the Company shall be US$ 39,000,000 ( or VND 681,369 billion).
 
Attending the signing ceremony: from the SNP: Vice admiral Nguyen Van Hien – the Navy commander in chief, chairman of SNP, The navy senior colonel Nguyen Dang Nghiem – vice chairman and general director of SNP, the representatives of the management and directors’ board. From Hanjin Shipping: Mr. Gun Sik Choi- Vice executive President of HJS, Mr. Hoon Park, General director and representatives of Hanjin Shipping Vietnam. From Wanhai Lines: Mr. Tony Chow- President of WHL , Mr. Jeff S.H.LO – chief representative of Wanhai Vietnam. Form MOL: Mr.Masakazu Yakushiji – Vice executive president, Mr. Katsunori Moriya – General Director of MOL Vietnam.
 
After nearly 20 years of growth and development, besides the defense –military duties, SNP has affirmed its leading position, scope and strategic view in term of the terminal development and operation. Despite the difficulties of 2008, SNP has achieved a volume increase of 11.1 percent year on year, the turnover reached nearly VND 3,00,000 billion, made the contribution of VND 200 billion to the national budget and offered VND 7 billion for the social and charity work. SNP was also the first terminal operator in Vietnam welcomed the 2 millionth Teu ( equivalent to 28 million tons of cargo) through the port in 2008. At present, SNP is the leading container terminal operator in Vietnam in term of the volume, investment scope, the advanced technology application and human resources strategy. The market share of SNP accounts for more than 66% of HCM City and 42% nationally. In the past time, the delivery, receipt and vessel dispatch activities at Cat Lai port under SNP has played an important role in the import export trade in the South of Vietnam in particular and of the country in general.