Lilama - Leading EPC Contractor

The trademark of Lilama has been creating reputation and prestige with partners at home and abroad. 

General Director of Lilama Pham Hung said the event in which Lilama was appointed as the EPC (Engineering /Procurement / Construction) contractor for the Uong Bi 300 MW thermal power plant with an investment of US$300 million marked Lilama’s change from the position of wage-earner for foreign corporations to the owner. Apart from the role of EPC contractor, Lilama has, for the past years, built its development strategy to become the professional investor of works.  

 

Lilama has confirmed its position as the first Vietnamese EPC contractor, bringing in huge benefits of the nation and the corporation by itself.

 

A series of projects which have been put into operation in the past one year with efforts of Lilama’s affiliates have contributed to increase the production capability and improve the growth speed. Lilama is the main contractor of packages 1, 2 and 3 of the Dung Quat oil refinery which produced the first batch in February 2009. The file of completed work is now underway. Lilama also attended manufacture and provide 30 percent of equipment for the Son La hydropower plant, which is the century work designed and executed completely by Vietnam.

 

The Lilama 10 joint stock company was in charge of installing all 73,000 tons of equipment for the hydropower work. In 2009, many parts of the hydropower plant finished in line with the progress of the project such as downstream flushing gates, penstocks of all six turbines handed over before the deadline 10-15 days; installing hydrotechnics, hydraulic equipment to prepare for hoarding water into the reservoir in May 2010.

 

The project which marks Lilama’s position of the number one EPC contractor in Vietnam over the past year is the Song Thao cement plant with annual capacity of one million tons. This is the project with the localization rate of up to 70 percent, marking the development of domestic machinery erection. For the first time, the Vietnamese side is entirely eligible to choose technology, equipment, design, processing, manufacture, installation, operation and technology transfer. Lilama takes the responsibility in manufacturing and installing equipment, being among contractors for the work, including the Housing and Urban Development Corporation (HUD).

 

Lilama and HUD are also the EPC contractors of Nghe An province-based Do Luong cement plant project with designed capacity of 2,500 tons of clinker per day, equal to 910,000 tons per month. The Dong Luong cement plant’s production line includes advanced and modern equipment, mostly imported from the group of industrialized nations (G7).

 

The EPC contractor has brought in economic benefits for the country’s economy and businesses. That Lilama was appointed as the contractor of Nhon Trach 1 thermal power plant has helped to save US$30 million for the state compared to the foreign contractor. If including the two power plants Nhon Trach 1, 2, the savings is up to hundred millions of dollars.  

 

With wining packages 2, 3 of the Dung Quat oil refinery project from studying, designing to manufacturing and managing worth of US$230 million, Lilama has become the first Vietnamese EPC contractor to get the position from foreign contractors.

 

The projects conducted by Lilama have been carried out in accordance with the progress such as the Vung Ang 1 thermal power plant, the Nhon Trach 2 thermal power plant. In the Son La hydropower plant, Lilama joined in manufacturing 30 percent of equipment and installing 73,000 tons equipment. The corporation as EPC contractor has completed and handed over a series of huge plants to partners, including the Camau combined cycle power plant 1 and 2, the Nhon Trach power plant 1, the Uong Bi 1 thermal power plant, the Dung Quat oil refinery, the Song Thao cement plant. The Thang Long cement plant with capacity of 2.3 million tons per year, invested by Lilama and Hanoi General Import-Export Company, has made debut the first product batch branded Thang Long.    

With its team of skilled engineers and welders who have been experienced in huge projects, Lilama is well on its way to succeeding in its aim of becoming a Heavy Engineering Group both in the domestic market and in the world. Lilama is also studying to manufacture new equipment meeting standards and absolute exactness in a bid to replace imported ones. For example, the Haiphong Equipment Manufacturing and Shipbuilding Company (LISEMCO) under the Lilama has signed many contracted to manufacture engineering equipment for projects in India, Japan, the US, Australia with a combined value of US$45 million.  

 

For the Uong Bi thermal power plant, Lilama has successfully manufactured by itself up to 60 percent of equipment, including furnaces. After the project, Lilama exported the product of furnace to India. For other projects, the corporation also keeps the active role in manufacturing equipment. These achievements show the improvement of Lilama in particular and Vietnam’s engineering sector in general in the way of integration and development.