Centennial Energy approved 15 billion US dollars to develop Kalagauk deep sea harbor in Myanmar
On 24th July 2015 Raweeroj Rithchoteanan, chairman of Centennial Energy (Thailand), has co-signed an agreement to build a deep sea harbor in Kalagauk, Ye, Mon State with MD of Myanmar Port Authority, U Kyaw Myint. This is the first official agreement under the Mega Project development backed by the government. The aim is to study, explore, design, build the deep-water harbor, a power plant as well as a new city equipped with utilities such as electricity, water, telephone lines, roads, train tracks and other means to support Myanmarûs shipping industry. The project will be completed within 10 years (2015-2025) with the total cost of 500 billion US dollars. The company will fund the entire project by itself.
In the initial phase, the project with study, explore, design and build the deep sea harbor in Kalagauk area, Ye, Mon State which is located about 120 km from Mawlamyine and 450 km south east of Yangon. The investment for this phase is estimated to be about 15 billion US dollars. Following its completion, the second phase will involve city planning, industrial estate planning as well as development of shipbuilding enterprise, oil refinery, international airport, and infrastructures such as roads, highways, motorways, high speed trains, telephone poles, airport, harbor, and industrial estates to support jewelry, shipbuilding, oil and gas as well as alternative energy industries.
Currently, Centennial Energy is in the process of signing an agreement with RAMBOLL GROUP from Denmark to build the harbor.
RAMBOLL GROUP is a world leading harbor designer with expertise and world class architects and over 12,300 employees have had experiences in harbor building across the globe. The company is also in the process of negotiating a deal with KPMG, a world leading accounting firm in BIG 4 from Netherlands, with over 162,000 employees in 155 countries across the world.KPMG will act as advisor on Audit, Tax & Advisory for the companyûs several projects in Myanmar. The company will also build a permanent office building in Yangon which will be in charge of latter projects, such as building highways and train tracks and expand transport infrastructures across the country as well as the development of the power plant project.
The company also aims support social development, by building new 6 ùCares New Modelû cities to help improve the living standards of poor people in five countries along the Mekong River. The projects will develop housing facilities and condominiums along with management of welfare systems, like providing low cost meals, hospitals and clinics. Other welfare benefits includes dual language education institutions, from primary to university levels and setting up of low cost buses and trains for its communities. These projects will also help boost employments with fair wages and benefits.
According to Raweeroj said, these projects were developed to help the people as well as improving the workforce capabilities in the region.
Earlier, on 26th June 2015, Centennial Energy has also signed its first agreement with Dr. Maydy Khamphoukdouangkep, Director Department of Planning and Investment, Xiengkhuang province, Lao PDR. to extract and remove landmines in the special economic zone of Xiangkhouang province with a budget of 9.8 billion US dollars. This agreement is a part of the Mega Project that will be initiated between 2015-2025.
For Laos PDR, the company is interested in Government supported projects investments, within the 300 billion US dollars budget. This includes basic infrastructures such as roads, highways, motorways, high speed trains, cargo trains, city subways, electricity, water, telephone, international airport, alternative energies as well as 6 Cares model cities, similar to Myanmarûs.
The company also plans to invest in similar developments for three other countries (Thailand, Cambodia and Vietnam) along the Mekong River as well.
In the first phase development for Nonglouang, Xiangkhouang located 462 km north of Vientiane, with a total of 160,000 rais of land, the company will begin removing landmines that have been earthed since the Indo-Chinese War during 1964-1973. At present, there are large numbers of mines still hidden and more than 30% of 266 million mines is still active and spread out across 65,000 rais of land. The next phase will be the construction of a National Stadium, which will begin in 2018 along with new city planning and its infrastructures to attract tourists and boost tourism.
Apart from this, the investment in Xiangkhouang is part of an important goal, i.e. to develop the first Green & Clean City in ASEAN region. With the cityûs geographical advantage and its potential, it will further be developed into aû healthû hub of this region. (Long Stay XIENG KHOUANG Located at 1,300 meters above sea level, the city is believed to have the highest ozone level in the world as well as a comfortable climate (20-25 C) all year long. The city will welcome tourist from around the world, mainly those who are planning a long holiday or vacation.
The company will also develop the city to become a rehabilitation center and also an internationally accepted standard medical education center in the future. This will be achieved through collaboration with medical personnels from Yale University (USA), to graduate capable doctors, nurses and health related professionals that are internationally accepted. The target includes retirees and, aged populations from United States, Europe and Asia.
The company is also engaged in negotiations with one of the worldûs leading accounting firm, Ernst & Young from England, to work as Audit, Tax & Advisory for the companyûs several projects in Peopleûs Republic of Laos. Both projects will kick off in September 2015.
Centennial Energyûs chairman, Raweeroj said these projects were envisioned after realization that it was time to develop the quality and lives and labor workforces from the Mekong river basin. With 200 million population living under the poverty line and minimum access to education, health, and quality of living, the company is dedicated to its social obligations to help develop their livelihoods. With tremendous support from HSBC bank (HONG KONG) in terms of investment credits (a total of 2 trillion US dollars), the company was able to initiate the projects in all 5 countries, simultaneously.
Moreover, these projects are important roadmap to the development of transport infrastructure between big cities of the Greater Mekong Subregion, 5 countries in the Geologic Cross Section of this subregion are Myanmar, Thailand, Laos, Cambodia and Vietnam (East - West Economic Corridor).
The success of these developments will greatly boost the economy of this region and will also benefit other Asian countries as well.
Prior to this, the company will move forward to complete its agreement with Cambodia, Vietnam and Thailand, which is aimed to be signed by the end of this year.