Approval of Gia Nghia - Chon Thanh Expressway Component 1 Project under the public-private partnership method

According to the approval decision, Component Project 1: Investment in the construction of the North-South Expressway in the West, Gia Nghia (Dak Nong) - Chon Thanh (Binh Phuoc) section under the public-private partnership (PPP) method under the Investment Project for the construction of the North-South Expressway in the West, Gia Nghia (Dak Nong) - Chon Thanh (Binh Phuoc). The total length of the route is about 124.13km, the design speed is 120km/h. The route passes through districts, towns and cities including: Dak R'lap district (Dak Nong province) about 23.10km long and Bu Dang district, Dong Phu, Dong Xoai city, Chon Thanh town (Binh Phuoc province) about 101.03km long.

The starting point of the project intersects with Ho Chi Minh Road (existing National Highway 14) at about km1923+400, in Kien Thanh Commune, Dak R'lap District, Dak Nong Province. The end point intersects with Ho Chi Minh Road, Chon Thanh - Duc Hoa section, in Chon Thanh Town, Binh Phuoc Province.

Delegates perform the groundbreaking ceremony for Component Project 3 and Component Project 5 of the North-South Expressway, West section, Gia Nghia (Dak Nong) - Chon Thanh (Binh Phuoc) - Photo: Nhu Nam

According to Resolution No. 138/2024/QH15 dated June 28, 2024 of the National Assembly on the investment policy of the North-South Expressway Construction Investment Project, Western section, Gia Nghia (Dak Nong) - Chon Thanh (Binh Phuoc), the route has a scale of 6 lanes in the completed phase, with a roadbed width of 32.25m, the section through Dong Xoai city is 33m wide.

Investment phase, investment phase with a scale of 4 complete expressway lanes, roadbed width of 24.75m; the section through Dong Xoai city is 25.5m wide.

Type of PPP project contract: Build-Operate-Transfer (BOT) contract. Total project investment is VND 19,965 billion; implementation period is from 2025-2027.

Simulation image of the service road and overpass crossing the section through Binh Phuoc province, the North-South Expressway construction investment project, the western section, Gia Nghia (Dak Nong) - Chon Thanh (Binh Phuoc) - Photo: Tien Dung

Regarding capital structure, capital mobilized by investors is about VND 12,134 billion (excluding interest of VND 989 billion). The planned capital arrangement for 2025 is about VND 374 billion (accounting for 3%), for 2026 is about VND 6,067 billion (accounting for 50%) and for 2027 is about VND 5,693 billion (accounting for 47%). State capital of VND 6,842 billion is from the source of increased central budget revenue in 2022.

Binh Phuoc Provincial People's Committee is the competent authority, and will sign the contract and select the investor in 2025. The consortium of Vingroup Corporation - Joint Stock Company and Vietnam Technological and Commercial Joint Stock Bank is the investor proposing to implement the project.

The People's Committee of Binh Phuoc province is fully responsible for the project dossier and the information and data in the project feasibility study report, the information and reports on acceptance and explanation of appraisal opinions of the State Appraisal Council and related ministries, branches and localities. Organize the selection of investors with sufficient capacity and experience to implement the project in accordance with the provisions of law, ensuring quality, efficiency, and progress, and preventing negativity and waste that cause loss of State capital assets.

Dak Nong Provincial People's Committee is responsible for organizing the implementation of site clearance and resettlement (land use purpose change if any) in the province in accordance with the provisions of law, in accordance with documents of competent authorities approving the scale, area, location and progress of project implementation, planning, and related land use plans.

Previously, on April 19, the People's Committee of Binh Phuoc province held a groundbreaking ceremony for Component Project 3 "Investment in construction of service roads and overpasses across the section through Binh Phuoc province" and Component Project 5 "Compensation, support, and resettlement across the section through Binh Phuoc province" under the Investment Project for Construction of the Western North-South Expressway, Gia Nghia (Dak Nong) - Chon Thanh (Binh Phuoc) section.

As planned, the groundbreaking ceremony of Component Project 1 organized by the People's Committee of Binh Phuoc province will take place tomorrow, April 29.

The investment in the construction of the North -South Expressway in the West, Gia Nghia (Dak Nong) - Chon Thanh (Binh Phuoc) section , is a key project to connect the Central Highlands with the Southeast region and Ho Chi Minh City, opening up new development space for the Central Highlands and neighboring provinces. The project is divided into 5 component projects. Of which, Binh Phuoc province implements component projects No. 1, 3 and 5; Dak Nong province implements component projects No. 2 and 4.