US-based Cavico’s subsidiary, Cavico Infrastructure has signed phase I of a construction contract with Tay Nguyen Mineral Exploitation Company, a subsidiary of East North Company of Vietnam’s Ministry of Defense.

Under the agreement, Cavico will excavate and remove dirt and rocks at Dong Giao Coal Mine located at Tam Diep Village in Ninh Binh Province in Northern Vietnam, for the remainder of 2010.

The mine has estimated coal reserves of one million cubic meters and a total of ten million cubic meters of dirt.

Agreement also requires the rocks to be excavated and removed in multiple stages.

Cavico Infrastructure is expected to be awarded the remaining project stages at the mine, with a total construction contract value of $11m.

Cavico vice president Hai Thanh Tran said the process of transporting equipment and personnel to the site has been initiated for beginning the proposed construction work .