In March 2007, Cuu Long Vinashin Steel Joint Stock Company started construction of Cuu Long Vinashin Iron and Steel Factory in the Southern Industrial Park of Tran Yen District, Yen Bai Province.
With a total investment of thousands of billions of VND, the factory is expected to come into operation after 18 months of construction, with a designed output of about 200,000 tons of various types of steel billets and cast iron products per year.
The factory will include iron ore processing, pig iron smelting, steel billet casting and steel rolling lines, especially a power turbine line using blast furnace exhaust gas as fuel with a capacity of 10,000 KVA.
According to the reporter's report on December 12, after many name changes and changes of ownership, the steel mill still did not operate as originally planned.
On the 28-hectare site are unfinished constructions, overgrown with grass. The steel rolling mill, ore selection area, and construction items are also showing signs of deterioration.
It is expected that after completion (first quarter of 2009), the factory will contribute 100 billion VND to the local budget each year and create jobs for 2,000 workers. But in reality, after more than 16 years of construction, the trillion-dollar super project is still only on paper.
Speaking to Lao Dong Newspaper, Mr. Trinh Huynh Yen - Head of the Management Board of Industrial Parks of Yen Bai province said: "In addition to the investment projects in industrial parks that are promoting efficiency, bringing income to workers, there are also many licensed projects that are still dormant or under construction, causing waste of land resources.
Regarding the steel mill investment project, we have reported to the Provincial People's Committee and issued a notice of termination of operations, requiring the investor to liquidate assets and fulfill obligations according to the provisions of law.
