China has signed a framework agreement with Myanmar to develop a new deep-sea port in Myanmar’s Kyaukpyu town, which is situated along the Bay of Bengal. 

The deal follows years of negotiations associated with funding and other issues.  It was signed between a Chinese consortium led by state-owned conglomerate Citic Group and the Kyaukpyu Special Economic Zone Management Committee.

The project will see the construction of two berths with a total cost of $1.3bn.  A new joint venture is set to be established to build and operate the planned port.  As part of the deal, China will provide 70% of the funding and Myanmar will provide a 30% investment in the project.

Source: Ship Technology