The construction of a VND11 trillion (US$473 million) expressway connecting two key localities in northern Vietnam was initiated on Wednesday.
The groundbreaking of the Van Don-Mong Cai Expressway in the northern province of Quang Ninh was attended by Deputy Prime Minister Trinh Dinh Dung and leaders of provincial authorities.
The project is being carried out under a BOT (build-operate-transfer) contract between the province and Van Don Investment and Infrastructure Development Company, a subsidiary of Sun Group.
BOT is a project-financing framework in which the developer receives a concession from the public sector to finance, design, construct and operate a facility for a certain period, during which time it can use the project as a means of generating revenue.
Construction of the 80.2 kilometer expressway stretching from Van Don District to Mong Cai City in Quang Ninh Province is expected to last two years.
The road, designed with four lanes and two hard shoulders, while have a maximum speed limit of 100km per hour.
|The model of the Van Don-Mong Cai Expressway upon completion in this photo provided by the developer|
According to Deputy PM Dung, the Van Don-Mong Cai Expressway will help attract foreign investment and boost socio-economic and tourism development in Quang Ninh.
It is also expected to help promote international trade at the Mong Cai Border Gate, the official added.
As the expressway will shorten the journey between two localities from two hours to 50 minutes, experts expect increased use of the Van Don International airport.
In addition, the project will play a significant role in the completion of the country’s longest expressway route, which links Lao Cai Province, Hanoi, Hai Phong City, and Quang Ninh Province, the deputy premier remarked.
The expressway is expected to be a key traffic infrastructure project connecting northern Vietnamese provinces to other Association of Southeast Asian Nations (ASEAN) and China, thus contributing to development of the local economy.