Friday, April 21, 2023
Laos-Vietnam railway construction could begin by year-end: developer
Times Reporters
A developer has said that if things go as expected, the company PetroTrade will build the 139.18-km section of the railway. The price tag for the railway is estimated to be as much as US$5 billion. PetroTrade has been given the green light to partner with the governments of Laos and Vietnam to develop and operate the railway. A feasibility study of the railway has been carried out and the developer is in the process of proposing a concession agreement with the Lao government. Last month, Mr. Chanthone signed a Joint Venture Agreement with Mr. Ho Minh Hoang, Chairman of the Board of Directors of the DEOCA Group Joint Stock Company of Vietnam, to push forward the construction of the railway in Vietnam. This section will link Mu Gia in Quang Binh province to the Thanaleng Dry Port in Vientiane, which is also part of the LLL project.
A conceptual design of the railway.
Through the China-Europe rail network, freight from Southeast Asia could reach European markets within 15 days - much shorter than the sea route which takes about 45 days. Mr. Chanthone said the LLL project plays a crucial role in the regional and global logistics link while boosting the Lao economy. The dry port in Vientiane, which houses the Thanaleng Dry Port, has complemented other projects under the LLL, which include a planned logistics park in Khammuan and the Vung Ang seaport. Once the LLL project is fully implemented, it could expand Laos' Gross Domestic Product by about 20 percent, he said.
