Under the terms of the new deal, Cavico will be responsible for the construction of a diversion dam, water intake gates and a groin dam distributor. Ngan Truoi reservoir’s Portal No. 2 will be 2.5m in diameter and 464 meters in length. The company expects to complete the construction within two years.

The Ngan Truoi irrigation dam project is being developed by the Ministry of Agriculture and Rural Development with a total capital investment of approximately $167M, raised mainly from the Vietnamese government bonds. The project, initially approved by the Vietnam Government Office in 2006, is considered to be the most critical project within the province. Upon completion, the dam will provide water to 35,000 hectares of farming land in the six provinces north of Ha Tinh. It should also help reduce the damages from the Song La River during flooding season and provide a 20MW capacity hydro power plant.

“Cavico is delighted to win the bidding for the second portion of this very critical project. Our high-quality and timely work related to Ngan Truoi reservoir’s Portal No. 1 provided us the advantage to secure this second contract during this competitive bidding process,” said Mr. Hai Thanh Tran, vice president of Cavico. “Our team and equipment are already deployed at the site and we expect a smooth transition to begin this project, which is expected to be completed within the agreed time frame.”