With a strong business performance in 2020, Halcom Vietnam’s renewable energy projects – the Phuong Mai 3 wind power project in Binh Dinh and the Hau Giang solar power project – commenced commercial operations and have been operating stably. Halcom Vietnam continues to accelerate the implementation of its promising strategic investment project portfolio as part of its medium- and long-term development plan.

During the 2021-2025 period, the Company’s management estimated total investment capital of approximately USD 1.5 billion for water supply and drainage, environmental, and clean energy projects. For fiscal year 2021, the Company set a target of VND 21 billion in after-tax profit, seven times higher than in 2020, while welcoming cooperation opportunities from domestic and international investors and strategic partners.

Highlights of the 2021-2025 investment portfolio

Regarding investment activities in renewable energy, Halcom Vietnam is focusing on developing two projects: the offshore wind power project in Quang Binh and the Hau Giang 2 solar power project. The Quang Binh offshore wind power project has a total investment of nearly VND 7 trillion, with 50 turbines expected to have a total capacity of 200MW and estimated output of 315,360 MWh/year, covering an area of more than 780 hectares in Ngu Thuy Trung Commune, Le Thuy District. Once completed, it will be the first offshore wind power project to commence operations in the province. The project has completed wind measurement surveys and is currently being submitted for inclusion in the revised Power Development Plan VIII. This area has high wind potential (6.2m/s at a height of 102m), with high feasibility and economic efficiency. According to the investor’s plan, the project is expected to commence construction in Q1/2022 and be connected to the national grid by the end of 2023. In addition, the Company’s Hau Giang 2 solar power project has also been approved in principle for expansion research with a capacity of 40MWp, in order to maximize the efficiency of the existing technical infrastructure of the Hau Giang 1 solar power plant, with a capacity of 35MWp, which commenced commercial operations in December 2020.

Phuong Mai 3 Wind Power Plant (Binh Dinh) is Halcom Vietnam’s first renewable energy investment project, developed systematically and in accordance with the committed schedule. 

From 2020, the Company has also placed particular emphasis on promoting research and development of waste-to-energy projects in several potential localities such as Long An, Da Nang, Hanoi, etc. The Company aims for these plants to achieve a waste treatment capacity of 3,000 tons per day by 2025.

In its investment activities in water supply and drainage, in addition to the plan to increase the capacity of Thuan Thanh Water Plant (Bac Ninh), which has been in operation, from the current 5,000m³/day to 10,000m³/day, the Nhon Hoi Economic Zone Clean Water Supply System project will be an important project that the Company plans to commence construction in 2021. Phase 1 of the Nhon Hoi Water Supply Project will be implemented on a total area of 4.9 hectares and is expected to commence operations in Q3/2022, supplying water for domestic, industrial, commercial, and service purposes throughout the Economic Zone. The clean water treatment technology will ensure that the treated water meets the QCVN standards for domestic water quality, based on a proposal by leading clean water experts from Finland.

The Nhon Hoi Water Plant project will utilize surface water from the Dai An River (a branch of the Con River), with the proposed water intake location upstream of Van Moi Dam. 

The project is divided into three phases: Phase 1 (2020-2025) – capacity of 20,000m³/day; Phase 2 (2026-2030) – 50,000m³/day; and Phase 3 (from 2030 onwards, depending on actual demand) – 100,000m³/day. The total estimated investment for Phase 1 is nearly VND 300 billion. The Company is approaching international banks to reduce the average borrowing interest rate and benefit from the province’s preferential investment cost support in order to improve the project’s financial efficiency. Several European investment funds and a major domestic corporation are also negotiating to develop the project.

Phuong Mai 3 Resort – A unique resort destination on renewable energy land

Originating from the idea of combining the existing renewable energy zone with eco-tourism and entertainment functions, Phuong Mai 3 Resort will be Halcom Vietnam’s first step into resort real estate investment, with a total investment of approximately VND 5.5 trillion. The project will leverage existing potential, improve land-use efficiency, and generate revenue for the local budget in addition to the existing benefits from renewable energy. Phuong Mai 3 Resort is expected to become a unique tourism product on the Phuong Mai Peninsula, contributing to the diversity of tourism development in Quy Nhon, Binh Dinh.

Overall perspective of the project, featuring the renewable energy zone (the operational Phuong Mai 3 Wind Power Project) and the resort area (Phuong Mai 3 Resort) 

Phuong Mai 3 Resort project featuring 2-4-bedroom villas and bungalows, with sales expected to commence in mid-2022

The Phuong Mai 3 Resort project is receiving numerous proposals for development cooperation from several major domestic and international real estate groups (from South Korea and Singapore). With the partners’ extensive experience in developing and operating resort projects, Halcom is fully confident that the project’s products will receive a positive response from domestic and international investors in the coming period, as resort tourism recovers alongside economic activity in Vietnam and around the world.

At the 2021 Annual General Meeting of Shareholders, Halcom Vietnam will submit to shareholders a plan to increase its charter capital through a share offering with a total offering value of VND 500 billion. The purpose of this offering is to simultaneously implement investment projects according to the medium- and long-term development plan, realizing Halcom’s vision of becoming a pioneer in sustainable infrastructure and urban development in Vietnam and Southeast Asia.