A state-run Vietnamese chemical giant on Sunday held a groundbreaking ceremony for a potash salt mine exploration project in Laos, which will free Viet Nam from potassium fertilizer imports upon its completion.

The project, to be developed by the Viet Nam National Chemical Group (Vinachem) at a total cost of US$522 million, is among the largest outbound investments of a Vietnamese firm, according to the Viet Nam News Agency.

Employees work at a Vinachem fertilizer plant in Ba Ria - Vung Tau Province

Vietnamese Prime Minister Nguyen Tan Dung and his Laotian counterpart Thoosing Thammavong attended the sod-turning ceremony in Nongbok District in Laotian province of Khammouane.

The project is expected to produce 320,000 metric tons of potash salt per year, which will help reduce the importation of potassium fertilizers for both Viet Nam and Laos.

It will also ease the shortage of industrial salt against the abundant supply of edible salt in Viet Nam.

Vinachem itself covers $105 million out of the $522 million investment, whereas the remaining is funded by loans offered by Vietnamese commercial banks.

The modern project will contribute to the eco-social development of Khammuane and it reflects the comprehensive partnership between Viet Nam and Laos, the Laotian premier said at the ceremony

(Source: Tuoitrenews)