A steel project in the central province of Ha Tinh, which has a total investment of VND1.7 trillion (USD73.9 million), will be auctioned at the end of this month following its sluggish implementation.

The project invested by Ha Tinh Iron & Steel Joint Stock Company is located on a 26-hectare site in Ky Anh Town. It was kicked off in June 2007 and was scheduled for operation in August 2010.

The project was designed by a Chinese firm. It was initially expected to provide jobs for 2,000 people.

During the implementation process, the project ran short of investment, so the investor took VND700 billion (USD30 million) in loans from three banks.

However, the project remained bogged down. As a result, in May 2015, Ha Tinh’s authorities decided to revoke the project’s investment licence.

Due to the investor’s failure to repay the loans, the entire project will be auctioned as a way to help repay the banks. The starting price for the auction would be set at VND109 billion (USD4.73 million).

Over the years, all of the equipment and machines of the project have become rusty. Many areas have been covered by grass.

A representative from one of the three banks who lent the project said that the banks will share the money from the auction.

Dang Van Thanh, deputy head of Ha Tinh Economic Zone management board, said that after the auction is completed, the project’s land will be returned to the provincial Department of Planning and Investment. The land will be available for investors.

Some photos of the equipment and machines of the project:

A large amount of the equipment has been left to go rusty

Most of the project facilities were half-done

A furnace