The 1st Lao Cement Plant is to increase production capacity amid the surge in high demand of domestic market.
Last week, the 1st Lao Cement Plant signed a joint venture investment for Vangvieng Cement Plant extending construction project with a Chinese company to increase the quantity of production.
The signing ceremony took place at Lane Xang hotel, Vientiane Capital, 20 June, witnessed by Mr Bounpeng Boualaphanh, Director General of State Enterprise for Agriculture-Industry Development Import-Export and General Services and Mr Xuwen Xieng, President of Administrative Council of Yongpha Cement Company of China.
The 1st Vangvieng Cement Plant Extending Construction Project would be invested approximately US$40m with a 29-year-cooperation period between the 1st Lao Cement Plant and Chinese Yongpha Cement Company. New project can increase production capacity to 80,000tpa from 500,000tpa.
Since 2006 the cement demand for construction projects across the country have been sharply increased while many cement companies in the country could not supply the higher volume demand of construction projects. Till 2008 many construction companies have imported cement from Thai neighbouring country. Now construction projects in Laos have mushroomed especially hydropower construction projects, mining exploitation sectors, guesthouses and hotels construction projects, and agricultural development projects. The 1st Lao Cement Plant is located in Vang Vieng district, Vientiane province. Lao PDR has five cement production plants.