HANOI, Vietnam, Nov. 16, 2010 (GLOBE NEWSWIRE) -- Cavico Corp. (Nasdaq:CAVO), a leading infrastructure development company based in Vietnam, today announced that its subsidiary, Cavico Industry and Minerals JSC (HNX:CMI) ("Cavico Minerals"), has received a Business License from the Ministry of Interior and an Investment License from the Ministry of Planning and Investment of Laos. Cavico Minerals will operate from a representative office in Vientiane.
Earlier this year, Cavico Minerals signed an exclusive distributor agreement with Castrol BP Petco to distribute Castrol BP's products in Laos and is expected to generate approximately US$3 million in revenue in the first year from the distribution activities.
Founded in March 2007 as a subsidiary of Cavico Corp., Cavico Minerals' main business focus is mineral exploration and processing. To date, Cavico Minerals has received the license to explore and process calcium carbonate (CaCO3) at Thung San Mine, which is located on 20 hectares of land and has reserves of approximately 4.22 million cubic meters of marble and 12.15 million tons of calcium carbonate. Cavico Minerals is authorized to extract 88,600 cubic meters of marble and 255,000 tons of calcium carbonate per year for the next 30 years. Cavico Minerals also plans to build a calcium carbonate processing plant with the capacity to process 70,000 tons of calcium carbonate per year. The plant will be built on three hectares of land and located in the Nam Cam industry zone."We are pleased to have received an investment and business license from Laos, an important neighbor with great growth potential," commented Mr. Hai Thanh Tran, vice president of Cavico Corp. and Chairman of the Board of Cavico Minerals. "Obtaining these licenses is a critical first step that will allow Cavico access to future opportunities in a growing market with a promising future. Laos, similar to Vietnam, is in need of infrastructure development in order to fuel its growth, and Cavico can leverage its experience and knowledge in order to expand its core business in this country, as well as identify new business opportunities."