SINGAPORE (THE BUSINESS TIMES) - Sembcorp Industries unit Sembcorp Development will be involved in the development of a new industrial park in Vietnam's Quang Tri province, Sembcorp Industries said in a Singapore Exchange filing on Tuesday night (March 30).

The investment licence for the Quang Tri Industrial Park project has been issued to a consortium that includes Vietnam Singapore Industrial Park Joint Venture Co, a joint venture between Sembcorp Development and longstanding partner Becamex IDC Corporation.

Sembcorp Development's effective ownership in the project will be 29.6 per cent.

Quang Tri Industrial Park will be located 60km from Phu Bai International Airport (Hue airport) in central Vietnam, and will span some 481ha, with the initial development phase comprising 97ha.

The province has been earmarked by the Vietnamese government as a future economic hub along the East-West Economic Corridor linking Vietnam, Laos, Thailand and Myanmar, said Sembcorp Industries.

Having received the investment licence, the new joint venture must now clear anti-monopoly legislation and enterprise registration to establish a joint venture company in Vietnam. The entire process is expected to be completed by mid-2021.

Sembcorp Industries said the Quang Tri Industrial Park project is not expected to have a material impact on its earnings per share and net asset value per share for the financial year ending Dec 31, 2021.

Shares of Sembcorp Industries closed up $0.02 or 1.09 per cent at $1.86 on Tuesday before the news.