On February 10, 2025, Huu Nghi – Chi Lang Expressway Joint Stock Company and Tien Phong Commercial Joint Stock Bank (TPBank) signed a credit agreement worth 98 million USD for Huu Nghi – Chi Lang expressway project.
Huu Nghi – Chi Lang expressway project spans a total length of 60 km, with the total investment estimated at over 431 million USD. This important expressway passes through Chi Lang, Cao Loc, and Van Lang districts, as well as Lang Son city, directly linking to three international border gates: Huu Nghi, Coc Nam, and Tan Thanh.
The overview of the signing ceremony.
The project is invested following the PPP method, specifically BOT contract. It is supervised by the People’s Commitee of Lang Son province as the competent authority, and is implemented by the consortium of DEOCA Construction Company - DEOCA Group - 568 Construction Company - Lizen Company, with DEOCA Group as the lead investor.
In addition to reducing the load on National Route 1, the expressway also contributes to completing the interregional transportation network, connecting with Bac Giang - Lang Son and Dong Dang - Tra Linh expressways. At the same time, it facilitates trade and the development of logistics chains from the border to the seaports of Hai Phong and Quang Ninh.
The representative of TPBank and the project enterprise signed the credit agreement in the presence of local leaders, investors and other relevant parties.
According to the investor’s report, Lang Son province has handed over 76% of the project site, of which 64% is eligible for immediate construction. Contractors have mobilized around 1,000 personnel and nearly 500 pieces of equipment to simultaneously execute work on 40 construction fronts, aiming for project completion by 2025 with an estimated production value of 181 million USD.
Since construction commenced in April 2024, DEOCA Group has not only served as the lead investor and general contractor but has also pioneered the development of an integrated financial model, notably the PPP++ model. This model was also presented by DEOCA Group to General Secretary To Lam as a proposed solution for the implementation of Tuyen Quang – Ha Giang expressway in Phase 2.
Speaking at the signing ceremony, Mr. Ho Minh Hoang, Chairman of the Board of Directors of DEOCA Group, emphasized that the joint efforts of the investor consortium and TPBank in resolving credit financing challenges clearly demonstrate the spirit of national enterprises in serving the country.
“A national enterprise transcends the role of a domestic business entity; it carries a greater mission - fueling economic growth, safeguarding national interests, preserving cultural heritage, and elevating the country’s global standing”, Mr. Ho Minh Hoang shared.
At the event, Mr. Luong Trong Quynh, Vice Chairman of the Lang Son Provincial People's Committee, expressed his optimism as the credit financing issue, one of the project's major bottlenecks, had been resolved. He affirmed that the Lang Son provincial government will provide maximum support to contractors, from design work to site clearance, while also requesting DEOCA Group and the investor consortium to increase manpower and equipment to ensure the expressway is operational by 2025.
Mr. Ho Minh Hoang, Chairman of the Board of Directors of DEOCA Group, highlighted the joint efforts of the investor consortium and TPBank in addressing credit financing challenges for Huu Nghi – Chi Lang expressway project.
On behalf of TPBank, Mr. Do Minh Phu, Chairman of the Board of Directors, emphasized the important role of close collaboration among the government, the bank, and the investors in ensuring the project's success.
“The definition of a 'national enterprise' introduced by Mr. Ho Minh Hoang is profound. Companies like DEOCA are not solely driven by profit but are also dedicated to contributing and serving the nation. This spirit is evident in DEOCA’s relentless efforts in key projects. Therefore, we firmly believe that TPBank has chosen the right partner,” Mr. Do Minh Phu affirmed.
The signing of the 98 million USD credit agreement is proof of confidence in the PPP++ model, reaffirming the principle of “harmonized interests – shared risks” that DEOCA Group upholds. This lays a foundation for the private enterprise community to continue accompanying the country.
DEOCA Group is committed to completing the project on schedule and ensuring high quality, while continuing to advocate for the government to address bottlenecks to build trust among businesses and banks. This will act as a catalyst for accelerating progress, fostering breakthroughs and contributing to the nation's rapid and sustainable development in this new era.
News: Bắc Hiệp - Photos: Hiếu Nguyễn
