Italian-Thai not putting off Dawei port project

Corporate May 09, 2012 00:00

By The Nation

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Italian-Thai has no plan to suspend the implementation of the Dawei deep-seaport project, according to Aung Naing Oo, director-general of the Directorate of Investment and Company Administration.


“Construction of the Dawei deep-seaport project is not meant for suspension,” the director-general told a media meeting with the Industry Ministry, according to a report from Eleven Media Group. 
“At the end of the fiscal year, [Italian-Thai is] preparing financial statements. Our Myanmar departments are also doing the same. March 30 is the end of the budget year. The companies are also preparing financial statements at the finance closing period. It was wrongly interpreted on the Internet.” 
In June 2008, Italian-Thai Development signed a memorandum of understanding with the Myanmar government to implement the Dawei deep seaport and special economic zone project. Then Italian-Thai signed an MoU with the Myanmar Port Authority in 2010.
The project has an area of 250 square kilometres and Italian-Thai has been allowed to run the project for 75 years. 
The Dawei special economic zone will include petroleum- and chemical-related plants, rubber factories and chemical plants. A coal plant that can produce 4 gigawatts will be included in this zone.
The plan could lead to a negative impact on the natural environment and has raised objections from local residents, other social organisations and an environmental group.
The chairman of Italian-Thai Development, Premchai Karnasuta, told Thai media last month that the company was seeking international long-term loans for the construction of the Dawei project.