The Bank for Investment and Development of Vietnam (BIDV) has agreed to lend Hoang Phat Vissai Group VND6.3trn (US$296m) to to develop the Song Lam cement plant in the central province of Nghe An.

The plant, which is being transformed from the Do Luong cement plant, is located in Bai Son commune, Do Luong district and has a production capacity of 18,000tpd of clinker.

The first phase will last from 2015-17 with two production lines with a combined capacity of 12,000tpd and the second phase with 6000tpd of clinker will be developed in the 2017-20 period.

Construction of the plant is expected to be completed for operation within 18 months.