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February 2012

Dawei Project Presentation_February 2012

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Page 1: Dawei Project Presentation_February 2012

February 2012

Page 2: Dawei Project Presentation_February 2012

DAWEI Sea Port Project

DAWEI AND THE REGION

DAWEI PROJECT

Page 3: Dawei Project Presentation_February 2012
Page 4: Dawei Project Presentation_February 2012

Asia Regional Hub

Africa

Middle East / Europe

Dawei

Kunming

India

PROJECT LOCATION

Page 5: Dawei Project Presentation_February 2012

DAWEI Sea Port Project

DAWEI PROJECT OVERVIEW

DAWEI PROJECT

Page 6: Dawei Project Presentation_February 2012

G-to-G MOU signed on May 19th 2008

MOU signed between ITD and Myanma Port Authority, Ministry of Transport on June

12th 2008

Framework Agreement signed between ITD and Myanma Port Authority, Ministry of

Transport on November 2nd 2010 for the development of the Dawei Deep Sea Port, Industrial

Estate, and Road and Rail Link to Thailand on a BOT basis.

Project established as a Special Economic Zone (SEZ)

Concession Period: 60 Years + Possible Extension

Land Lease Period: up to 75 Years

ITD granted concessions to develop the following projects:

o Deep Sea Port

o Industrial estate incl. heavy industries such as:

steel mill, oil refinery, petrochemical complex,

fertilizer plant, power plant, and other utility services

o Cross border road and rail link with connecting

transmission lines

o Township for residential and commercial development

PROJECT OVERVIEW AND FRAMEWORK AGREEMENT

Page 7: Dawei Project Presentation_February 2012

Dawei Special Economic Zone Law enacted by the Myanmar Government on 27th January 2011

Government

Management Committeeof Dawei Special Economic Zone

Gov. departments & organizations

- Chairman

- Vice Chairman

- Secretary

- Joint-Secretary

President

Ministry of the Office of the

President

- Minister

Gov. of Tanintharyi Region

- representative(s)

Supporting Working Body of Dawei Special Economic Zone

Relevant Gov. departments & Organizations

Developer or Investor

- representative(s) - representative(s)

Central Body

Central Working Body

The Central Working Body established on 28th April 2011 by the Myanmar Government.

The Minister of National Planning and Economic Development as the Chairman.

The Committee comprises of 15 other Deputy Ministers and Director Generals from various

Ministries.

DAWEI SPECIAL ECONOMIC ZONE STRUCTURE

Page 8: Dawei Project Presentation_February 2012

Project Area defined as the Dawei Special Economic Zone

Industries and businesses in DSEZ shall be granted the protection and special privileges as follow:

No Nationalization

The right to own land for development of industries and businesses

The right to import raw materials for processing and export without import duties and corporate

income tax exemption

Production for domestic consumption subjected to normal tax rate

The right to import foreign management and skilled labor

Allowance for financial transactions required for normal business operation

Facilitate immigration and work permit

Facilitate company and business registration, permits, and licenses in ONE-STOP-SERVICE

LEGAL FRAMEWORK OF DSEZ LAW

Page 9: Dawei Project Presentation_February 2012

TAX EXEMPTION (proceeds of overseas sale)

Year 1-5 0% Year 6-10 15% Year 11-15 15% ; if profit is reinvested, otherwise 30%

Possible extension of the tax exemption

After the Tax Exemption period, income tax relief for that year may be applied for; depends on the VALUE OF EXPORT ITEMS are met according to the below conditions:

Large Scale Investment: > 50% of total value of product

Medium Scale Investment: > 60% of total value of product

Small Scale Investment: > 70% of total value of product

EXEMPTION OF COMMERCIAL TAX & VAT

Export items

EXEMPTION OF IMPORT TAX & CUSTOM DUTIES FOR RAW MATERIALS AND MACHINERIES

Export-oriented processing business 0% for 5 years 50% reduction for the next 5years

LAND USE Large Scale Investment: up to 75 years Medium Scale Investment: up to 60 years Small Scale Investment: up to 40 years

DSEZ LAW INVESTMENT PROMOTION

Page 10: Dawei Project Presentation_February 2012

DAWEI Sea Port Project

PROJECT INVESTIGATION

DAWEI PROJECT

Page 11: Dawei Project Presentation_February 2012

Good Location for Port Development

Natural water depth able to

accommodate large-size vessels.

Natural shelter good for

anchorage.

No physical underwater & sub-

soil obstructions for approach

channel & port basins.

Sufficient flat hinterland for

Industrial Estate in order to support /

create throughput for the PORT.

Economical transportation for the

Road and Rail Links between

DAWEI Port and Thailand.

Sufficient supply of local

construction material.

Dawei Deep Sea Port and Industrial Estate will cover an area of 250 km2 or 61,775 acres.

The Dawei Project will demand sufficient land area to prevent industrial congestion, environmental problems and

for future project expansion will altogether promote the well-being and livelihood of the community.

ITD INVESTIGATION – SITE SELECTION

Page 12: Dawei Project Presentation_February 2012

DAWEI Sea Port Project

PROJECT DEVELOPMENT PLAN

DAWEI PROJECT

Page 13: Dawei Project Presentation_February 2012

Establishment of Dawei Development Company Limited in Myanmar to implement the Dawei

Project.

Development of Basic Infrastructure:

Port

Road and Rail Link

Water Supply and Treatment System

Electricity

Telecommunication

Township

Hired reputable consultants for detailed design study for port and road link.

Upon approval by the Myanmar Government, Port (1st Phase) and Road Link will begin

construction by early 2012 and expect to complete within 4 years.

LAND AVAILABLE FOR IMMEDIATE RESERVATION BY INVESTORS.

Port

PROJECT DEVELOPMENT PLAN

Page 14: Dawei Project Presentation_February 2012

Appointed reputable consultants to conduct detailed design study

Port:

Road: EPSILON; TESCO; MINDWAY

Port: Servicing liquid cargo, agricultural products, general cargo, containers, and bulk cargo

Road Link: 4-Lane Toll Highway with expansion to 8 lanes in later phase

Temporary Jetty: NOW available for use.

Access Road (Dawei – Phu Nam Ron): 160 Kilometer. Completed.

DEEP SEA PORT and ROAD LINK TO THAILAND

BASIC INFRASTRUCTURE PREPARATION

Page 15: Dawei Project Presentation_February 2012

DAWEI PROJECT ACCESS ROAD

Page 16: Dawei Project Presentation_February 2012

Corridor Link to Thailand

Roads

Railways

Transmission Lines

Oil & Gas Pipelines

200 m.

CORRIDOR LINK TO THAILAND

Page 17: Dawei Project Presentation_February 2012

RESERVOIR AND WATER SUPPLY

Page 18: Dawei Project Presentation_February 2012

Coal-Fired Power Plant:

Land available for power plant development to serve Dawei Industrial Estate

Plot location next to Bulk Port

Development of an initial 400 MW to supply electricity during the Dawei Project

construction period

Increase capacity to match future electricity demand in the industrial estate.

Possibility to develop power plant to sell to EGAT and within the Industrial Estate under

a long-term contract (PPA)

Proposal of 3,600 MW Sale to Thailand under consideration by EGAT and to

conclude Tariff MOU.

Hydro Power Plant

Tanintharyi Hydro Power Development up to 670 MW to serve the Dawei Industrial

Estate.

POWER DEVELOPMENT PLAN

Page 19: Dawei Project Presentation_February 2012

DAWEI Sea Port Project

PROJECT LAYOUT

DAWEI PROJECT

Page 20: Dawei Project Presentation_February 2012

PROJECT LAYOUT

Page 21: Dawei Project Presentation_February 2012

DAWEI Sea Port Project

DAWEI DEEP SEA PORT

DAWEI PROJECT

Page 22: Dawei Project Presentation_February 2012

DAWEI DEEP SEA PORT

Page 23: Dawei Project Presentation_February 2012

DAWEI Sea Port Project

DAWEI ROAD LINK

DAWEI PROJECT

Page 24: Dawei Project Presentation_February 2012
Page 25: Dawei Project Presentation_February 2012

DAWEI Sea Port Project

TOWNSHIP DEVELOPMENT

DAWEI PROJECT

Page 26: Dawei Project Presentation_February 2012

DAWEI Sea Port Project LOCAL TOWNSHIP

Tha Pyae Zoon (169 households)

Kya Khat Tabin-in (331 households)

Page 27: Dawei Project Presentation_February 2012

DAWEI Sea Port Project DAWEI EXPATRIATE TOWNSHIP

Page 28: Dawei Project Presentation_February 2012

DAWEI Sea Port Project

ENVIRONMENTAL AND SOCIAL

IMPACT ASSESSMENT

DAWEI PROJECT

Page 29: Dawei Project Presentation_February 2012

ENVIRONMENTAL AND SOCIAL DEVELOPMENT

Page 30: Dawei Project Presentation_February 2012

DAWEI Sea Port Project

BUSINESS OPPORTUNITY FOR INVESTORS

DAWEI PROJECT

Page 31: Dawei Project Presentation_February 2012

DAWEI PROJECT INVESTMENT STRUCTURE

Strategic Level Partners

Township Port

Coal-Fired Power Plant

World Class Holiday Resort

Industrial Estate

Integrated Steel Mills

Railway Toll Road

Petrochemical Complex

Refinery & Gas Complex

Fertilizer Plants

Utility Services

Water Shipyards Tele-communication Logistics

Chemical Complex

Pulp & Paper

Page 32: Dawei Project Presentation_February 2012

DAWEI Sea Port Project

WORK PROGRESS AND PHOTOS

DAWEI PROJECT

Page 33: Dawei Project Presentation_February 2012

SITE PHOTO

Page 34: Dawei Project Presentation_February 2012

SITE PHOTO

Page 35: Dawei Project Presentation_February 2012

SOIL BORING

Page 36: Dawei Project Presentation_February 2012

ROAD LINK SURVEY AND CLEARING

Page 37: Dawei Project Presentation_February 2012

Auditorium Exhibition Hall

Pavilion Villas

VISITOR CENTER

Page 38: Dawei Project Presentation_February 2012

ITD Camp ITD Camp

Local Road in DSEZ Local Road in DSEZ

ITD CAMP AND LOCAL ROAD IN DSEZ

Page 39: Dawei Project Presentation_February 2012

TEMPORARY BRIDGE CROSSING DAWEI RIVER

Page 40: Dawei Project Presentation_February 2012

Thank You

“An Industrial Project That Could Change Myanmar”

www.daweidevelopment.com

DAWEI PROJECT