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Press Release Conference On Announcement Of International Contractors For Stage One Of 5,200 Mw Kien Luong Power Center

The conference contained international and Vietnamese consulting entities including Black & Veatch, FHDI, PECC2 and strategic partners International Power Corporation (Britain), Sojitz & Kyushu Corporation (Japan) and international EPC contractors.

At 3 pm on December 10, 2008, the Tan Tao Group held a conference at the Rex Hotel in Ho Chi Minh City, chaired by Mr. Dang Quang Hanh - President of the Tan Tao Energy Company- to announce international EPC contractors interested in participating in competitive bidding for the Kien Luong Power & Sea Port Center in stage one invested and led by the Tan Tao Group.

According to Chairwoman of the Tan Tao Group Dang Thi Hoang Yen, “The total investment capital for the first stage of Kien Luong Thermo Power and Port Center is estimated at 2.5 billion U.S. dollars. However, the total will be exactly specified after the tender offers and the acceptance of contract work.”

The conference contained international and Vietnamese consulting entities including Black & Veatch, FHDI, PECC2 and strategic partners International Power Corporation (Britain), Sojitz & Kyushu Corporation (Japan) and international EPC contractors.

Kien Luong Thermal Power Centre would become the largest thermal power project allocated to a private sector company and authorized by the Prime Minister.

For further information, please contact:

Mr. Nguyen Tuan Minh – Vice-president of the Tan Tao Group

Mobile: 0903.822.030 Email: ntminh@itagroup-vn.com

Website: http://www.tantaocity.com or http://www.itaexpress.com.vn

The project information

1.1. Completed work

N0. Tasks Beginning time Implementation units Result
1 Signing Topographic Survey Contract of the Zoning Area of Kien Luong Thermo Power Centre July, 2007 Tan Tao Group and Kien Giang Natural Resouces & Environmental Technology Center Completed in December, 2007
2 Signing Topographic Survey Contract of Kien Luong Port August, 2007 Tan Tao Group, FHDI Company (China). Completed in November, 2007
3 Signing Topographic Survey Contract of Kien Luong Thermal Power Plant August, 2007 Tan Tao Group and Power Engineering Consulting Company 2 (PECC2). Completed in October, 2007
4 Signing Environmental Impact Assessment Contract to make Master Plan July, 2007 Tan Tao Group and Environmental Consultants Completed in December, 2007
5 Signing Contract of data collection and surveying of Kien Luong Sea Area of Kien Giang province. July, 2007 Tan Tao Energy Corporation (T.E.C) and Southern & Informatics Investment Corporation (S.E.I) Completed in October, 2007
6 Signing Contract of Surveying, Investigating and Planning Kien Luong Port August, 2007 FHDI Company & S.E.I Completed in December, 2007
7 Signing Contract of establishing Master Plan of Kien Luong Thermo Power Center with Power Engineering Consulting Company (PECC2) August, 2007 Tan Tao Group, SEI, T.E.C and PECC2 Completed in November, 2007
8 Ministry of Industry and Trade assigned the establishment of the Master Plan of Kien Luong Thermo Power Center January 22, 2008 Document N0. 0694/BCT-NL dated January 22, 2008 of Ministry of Industry and Trade Completed in June, 2008
9 Surveying the Southwest sea area to locate the Deep Sea Port September, 2007 Tan Tao Group, SEI, T.E.C , FHDI, PECC2 with the People ‘s Committee of Kien Giang province and international port consultants Completed in January, 2008 to locate the Hon Cu Tron (Nam Du archipelago, Kien Hai district, Kien Giang province) to be satisfied to the conditions for deep port construction.
10 Surveying, exploring the construction site of Nam Du Deep Sea Port January, 2008 FHDI, TEC & SEI Completed in August, 2007
11 Approval of the Draft Budget of planning the construction location of Kien Luong Thermo Power Centre January, 30, 2008 Decision N0. 0760/QĐ-BCT dated January 30, 2008 of the Ministry of Industry and Trade  
12 Submission of the Master Plan report of the Kien Luong Power Centre. February 4, 2008 and June 9, 2008 Statement N0. 01/2-HĐQT-2008 dated February 4, 2008 and additional Statement N0. 264/CV-CT-08 dated June 9, 2008 of the Tan Tao Group Approved on August 25, 2008 by the Ministry of Industry and Trade
13 Signing the Zoning Contract of Kien Luong district. Januray, 2008 Tan Tao Group, S.E.I, Southern Planning Sub-institute ( of the Urban and Rural Planning Institute – Ministry of Construction) Fully completed and submitted to the Kien Giang Department of Construction on November 8, 2008
14 Establishing the 1/2000 Detailed Scheme of the Kien Luong Power Center and Kien Luong Industrial Park Januray, 2008 Tan Tao Group, T.E.C, S.E.I Ongoing implementation
15 Design of the infrastructure for the Power Plant April, 2008 Tan Tao Group, S.E.I, T.E.C and PECC2 Completed in November, 2008
16 Report on the Environmental Impact of the Kien Luong Power Plant and Kien Luong Port. April, 2008 Tan Tao Group, Environmental Technology Center, PECC2 Completed in November, 2008
17 Signing Contract of establishing construction investment project of Kien Luong Thermal Power Plant 1. April, 2008 Tan Tao Group and PECC2 Completed in November, 2008
18 Signing the Planning Contract for Kien Luong Port and Nam Du Deep Water Port. April, 2008 Tan Tao Group, SEI & FHDI Company (China). Completed in November, 2008
19 Signing the Consulting Contract for Kien Luong Port and Nam Du Deep Water Port. April, 2008 Tan Tao Group and Black & Veatch Company (United States). Completed in November, 2008
20 Establishing the Scheme for the 57 ha Resettlement Area June 19, 2008 Tan Tao Group, T.E.C & SEI. Completed in December, 2008
21 Approval of the Master Plan of the construction site for the Kien Luong Power Center June 25, 2008 Decision N0. 3594/QĐ-BCT dated June 25, 2008 of the Ministry of Industry and Trade Completed in June 25, 2008
22 Signing the General Planning Contract of Kien Luong district (urban area, industrial park, power plant, sea port) July, 2008 Tan Tao Group and Urban and Rural Planning Institute (Ministry of Construction) Ongoing process
23 Ministry of Industry and Trade submitted to the Prime Minister on determining the Main Investor of thermal power projects at the Kien Luong Power Center. July 30, 2008 Document N0. 6593/BCT-NL dated July 30, 2008 of the Ministry of Industry and Trade Completed in July, 2008
24 Signing the Contract of environmental impact assessment report for the dredging and construction of the Kien Luong Port August 18, 2008 Tan Tao Group and Environment Technology Center (ENTEC) Completed
25 The Prime Minister assigned Tan Tao Group as the main investor of Kien Luong power plants 1 & 2 and Nam Du Deep Water Port August 25, 2008 Document N0. 1385/TTg-KTN dated August 25, 2008 by the Prime Minister Completed in August 25, 2008
26 Signing Contract for land survey, compensation measures and resettlement of the project. September 3, 2008 Tan Tao Group and the Natural Resources & Environmental Technology Center of Kien Giang province (of Kien Giang provincial Department of Natural Resources & Environment Completed the Master Plan on November 11, 2008 to submit to the provincial People ‘s Committee for approval
27 Submitting the People ‘s Committee of Kien Giang province for the approval of “General Planning of Kien Luong” September, 2008 Tập đoàn Tân Tạo Pending the approval of the People ‘s Committee
28 Organizing the Scheme Announcement Conference September 17, 2008 Tan Tao Group and the People ‘s Committee of Kien Luong district Completed on September 17, 2008
29 Surveying the construction site of the water supply plant for the Kien Luong Power Center October 7, 2008 Tan Tao Group and the Centre for Food Technology Development Completed October 25, 2008
30 Testing water samples to seek technological measures of water supply treatment for the Power Plant (because of the salinization of water sources in Kien Luong) October 8, 2008 Tan Tao Group, T.E.C and Pasteur Institute Completed in September, 2009
31 Completing the Investment Report of the Kien Luong 1 Thermal Power Plant (English version) April, 2008 Tan Tao Group, PECC2, Black & Veatch Company (U.S) Completed in October, 2008
32 Carrying out the verification of the land origin in the zoning area of the project. 14/10/2008 Tan Tao Group, Kien Giang Natural Resources & Environmental Technology Center and branches of Kien Luong district. Completed on October 16, 2008
33 Working with Holcim Cement Company on the relocation of the mine depot, 110 KV power line crossing the Kien Luong Power Center October 16, 2008 Tan Tao Group , T.E.C, S.E.I and Holcim Completed in October, 2008
34 Asking for permission to carry out the 200 ha land recovery of the zoning area of Kien Luong Industrial Park to make gathering platform for materials, construction equipments for the Power Center. October 18, 2008 Document N0. 518/CV-CT-08 dated October 18, 2008 of Tan Tao Group  
35 Working with the People‘s Committee of Kien Luong district to approve the location of the 200 ha land recovery of the zoning area of Kien Luong Industrial Park to build residential houses for specialists, wastewater treatment area, water supply plant, management office and storage area of materials, equipments for the construction of the Thermal Plant. October 21, 2008 Tan Tao Group, T.E.C, S.E.I, People‘s Committee of Kien Luong district. Completed on October 21, 2008
36 The Compensation Appraisal Council of Kien Giang province undertakes the verification of the measurement results and statistics of land, crops and structure within the zoning area of the Power Center. From October 28 to 31, 2008 Representative of Natural Resources & Environment Department, Construction Department, Finance Department, People ‘s Committee of Kien Luong district, Kien Giang Natural Resources & Environmental Technology Center, Protection Forest Management Board, People ‘s Committee of Kien Luong town, Ba Hon ward and Tan Tao Group Completed on October 31, 2008, pending for the approval of the People‘s Committee of Kien Giang province for the site clearance and compensation.
37 Holding a technical meeting with the National Power Transmission Corporation (NPT) on the connection of the Kien Luong Power Center to the national power grid. November 3, 2008 National Power Transmission Corporation (NPT), Tan Tao Group and Power Engineering Consulting Company 2 (PECC2) PECC2 will complete all connection reports to send to the NPT prior to November of 2008.
38 Signing the Memorandum of coal supply with Russian partners. October,2008 Tan Tao Group Completed
39 Working with international financial organizations to arrange capital for the project November, 2008 Tan Tao Group Kien Luong project belonging to the National General Development Master Plan 6 under the guarantee of the Government. The Governmental Office has issued Document N0.312 to direct domestic banks to give priority to capital loan.
40 Completing the general compensation measure to submit to the provincial People‘s Committee. November 11, 2008 Tan Tao Group and the Kien Giang Natural Resources & Environmental Technological Center.

Completed

on Dec 4, 2008

41 The Kien Giang provincial People‘s Committee issued the Decision to approve the compensation and supporting measures of land, crops, structures within the construction zoning area of the Kien Luong Power Center. December 3, 2008 The People ‘s Committee of Kien Giang province Completed

1.2. Current Tasks:

N0. Tasks Implementation time Legal document / executing unit Note
1 Completing the electrical connection report November, 2008 Tan Tao Group and PECC2 The underlying for connection agreement with the NPT
2 Completing the investment project report of Kien Luong 1 Thermal Power Plant (Vietnamese version) November, 2008 Tan Tao Group and PECC2 To submit to the Ministry of Industry and Trade for the fundamental design appraisal
3 Planning the Housing Area for workers and the resettlement area of the project (57 ha area) From October to November, 2008 Tan Tao Group  
4 Planning the Housing Area for specialists, control offices, water supply plant (200 ha area) From October to November, 2008 Tan Tao Group Belonging to the planning of Kien Luong Industrial Park
5 Working with the Ministry of Finance and submitting the Document to the Government for the approval of a capital loan guarantee for the Kien Luong Power Center and Nam Du Deep Water Port. November, 2008 Tan Tao Group  

1.3. Tasks to be undertaken until the late 2009

N0. Tasks Implementation time Implementation unit Note
1 Approving the General Planning of Kien Luong project. November, 2008 Kien Giang provincial People’s Committee  
2 Conducting connection negotiation with the National Power Transmission Corporation November and December, 2008 Tan Tao Group and NPT  
3 Conducting negotiation on power purchasing/selling deals with the Power Buying & Selling Corporation regarding the measurement document SCADA/EMC December, 2008 Tan Tao Group and Power Selling & Buying Corporation (of EVN)  
4 Conducting commercial negotiation with the Vietnam Electricity Corporation (EVN) December, 2008 Tan Tao Group and EVN  
5 Establishing the international EPC contract December, 2008 Tan Tao Group and PECC2  
6 Submitting for approval of the Scheme of workers housing and resettlement area (57 ha) November, 2008 People‘s Committee of Kien Giang province/ People‘s Committee of Kien Luong district  
7 Approving the compensation, support and resettlement for the Power Center. November, 2008 People‘s Committee of Kien Giang province  
8 Approval and announcement of the 1/2000 Scheme of housing area for specialists, managament office, water supply plant (200 ha area) November, 2008 The Construction Department and People‘s Committee of Kien Giang province.  
9 Making the 200 ha compensation measure of the Industrial Park zoning area. November, 2008 The Natural Resources & Environmental Technology Center of Kien Giang province.  
10 Conducting compensation, site clearance for the Power Center and 57 ha area. Late December, 2008 Board of Compensation, Support and Resettlement  
11 Building infrastructure for the workers housing and resettlement area. May, 2009 Tan Tao Group and affiliated companies Expected December of 2009
12 Conducting compensation, site clearance for the Kien Luong Power Center Januray, 2009 Tan Tao Group, Kien Giang Natural Resources & Environmental Technology Center and Compensation Board of Kien Luong district

Expected

May, 2009

13 Carrying out the site clearance March, 2009 Tan Tao Group Expected December of 2009
12 Building technical, power-water supply infrastructure June, 2008 and affiliated companies Expected February of 2009
13 Completing the guarantee procedures of the Government for the 80% of the total investment capital of the Kien Luong Power Center and Nam Du Deep Water Port. January, 2009 Government, Ministry of Finance, State Bank and Tan Tao Group Expected September, 2009
14 Completing the agreement document of power dealing, capital loan. December, 2009 Tan Tao Group , EVN Need to be completed within November, 2008
15 Beginning construction of Kien Luong Power Center – Stage 1 December, 2009   Scheduled to generate power by 2013

About Tan Tao Group

The ITA Group, or ITACO for short, has been in operation for more than 12 years and has 20 member companies working in diverse fields. The Group is one of the leading infrastructure and industrial parks developer in Vietnam with the achievements shown through major projects across the country.

The ITA Group has significantly succeeded in investments and production activities for the past years creating a stable employment of about 70,000 labors and an expected number of 100,000 labors would be reached in the next 5 years. The ITA Group has actively contributed to the development of Binh Tan district and has transformed one of the poorest districts in Ho Chi Minh City into a district with the fastest economic growth rate and a largest tax contributor district of Ho Chi Minh City.

At the very beginning days of its foundation, the Tan Tao Group started its first project of converting the low agricultural land, located 12 km far from the Western Ho Chi Minh City, into the largest industrial park in Vietnam. The Tan Tao Industrial Park covering an area of 443 hectares has attracted 204 domestic investors with the total investment capital of VND 5,309 billion and 34 foreign investors from Taiwan, Hong Kong, Korea, China, United Kingdom and United States with the total investment capital of USD 140 million and it has generated 20,000 jobs for the local people. Up to now, the ITA Group has developed 9 industrial parks across the country with the coverage area of 9,032.8 hectares and created thousands of jobs and business opportunities for the neighboring urban areas.

ITACO ‘s stock was officially listed on the Ho Chi Minh City Stock Exchange on November 15, 2006 and has quickly become one of the blue chips on the Vietnam stock market.

ITACO currently employs over 1,200 staff and employees, thereof many with double major university degrees. The Management Board comprises 12 members holding Professor and Doctorate Degrees from accredited domestic and foreign universities.

In addition, the Tan Tao Group is actively involved in social and charity activities. It has donated hundreds of billions VND for housing construction for poor people, construction of kinder gardens and schools for poor localities, and providing assistance to people suffering from flood damage and other natural calamities in the country and in the brotherly countries of Laos and Cambodia.