Proposal for Geodyn Solutions: 100 MLD Seawater Desalination Plant with Brine Resource Recovery in Vietnam
Executive Summary
Geodyn Solutions proposes a 100 million liters per day (MLD) seawater desalination plant in Vietnam, designed to produce potable water while recovering valuable resources from brine byproducts. This initiative addresses Vietnam’s escalating water scarcity in coastal and delta regions, exacerbated by salinity intrusion and drought. By generating fresh water and marketable resources, the plant will create dual revenue streams, enhance sustainability, and drive economic growth.
Key highlights:
- Capacity: 100 MLD of fresh water.
- Capital Expenditure (CapEx): $150 million (including $120 million for desalination and $30 million for resource recovery infrastructure).
- Return on Investment (ROI): 220% over 20 years, with a payback period of 9.09 years and NPV of $55.6 million at a 5% discount rate.
- Job Creation: 80 direct jobs and 200 indirect jobs.
- Operational Cost (OpEx): $30 million annually.
- Benefits: Reduced environmental impact from brine disposal, economic diversification through resource sales, and alignment with government incentives.
- Suggested Location: Mekong Delta (near Ho Chi Minh City or Binh Duong Province) for optimal ROI due to industrial demand and water scarcity.
This proposal outlines the project’s scope, financials, benefits, and incentives, positioning it as a sustainable solution for Vietnam’s water and economic needs.
Project Overview
Desalination Process
The plant will utilize industry-standard seawater desalination technology to produce 100 MLD of potable water suitable for municipal, agricultural, and industrial use. The process achieves a recovery rate of approximately 45%, ensuring efficient water production.
Brine Resource Recovery
The concentrated byproduct (approximately 122 MLD) will be processed to extract valuable resources, such as industrial salts and other marketable materials, using proven methods. This approach transforms waste into revenue, reducing environmental impact and aligning with circular economy principles.
Suggested Location
The recommended site is in the Mekong Delta, near Binh Duong Province or Ho Chi Minh City, where salinity intrusion, drought, and groundwater depletion threaten water security. The location’s proximity to industrial hubs ensures high demand for desalinated water at premium prices ($0.80-$1.20/m³). Coastal access minimizes intake costs, and integration with renewable energy aligns with Vietnam’s sustainability incentives, maximizing ROI.
Financial Analysis
Capital Expenditure (CapEx)
Total estimated CapEx: $150 million.
- Desalination Plant: $120 million (based on $800-$1,200 per m³/day for large-scale systems).
- Resource Recovery Facility: $30 million (infrastructure for byproduct processing).
- Includes site preparation, intake/outfall, and renewable energy integration.
Operational Cost (OpEx)
Annual OpEx: $30 million.
- Energy (primary cost): $0.60-$1.50/m³, averaging $0.8/m³ for 36.5 million m³/year.
- Maintenance, chemicals, and labor: Included in the estimate.
- Resource recovery adds ~10% to OpEx but is offset by sales revenue.
Revenue Streams
- Water Sales: $36.5 million annually (100 MLD at $1/m³ average selling price to industrial/municipal users).
- Resource Sales: $10 million annually (e.g., salts and other materials, scaled from global brine value estimates).
Annual Net Cash Flow: $16.5 million.
Return on Investment (ROI)
- Payback Period: 9.09 years.
- Net Present Value (NPV) at 5% discount rate: $55.6 million.
- 20-Year ROI: 220%.
20-Year ROI Chart (Cumulative Cash Flow Table)
The following table illustrates annual and cumulative cash flows over 20 years, assuming constant revenue and OpEx (in $ millions):
Year | Annual Cash Flow ($M) | Cumulative Cash Flow ($M) |
|---|---|---|
0 | -150.0 | -150.0 |
1 | 16.5 | -133.5 |
2 | 16.5 | -117.0 |
3 | 16.5 | -100.5 |
4 | 16.5 | -84.0 |
5 | 16.5 | -67.5 |
6 | 16.5 | -51.0 |
7 | 16.5 | -34.5 |
8 | 16.5 | -18.0 |
9 | 16.5 | -1.5 |
10 | 16.5 | 15.0 |
11 | 16.5 | 31.5 |
12 | 16.5 | 48.0 |
13 | 16.5 | 64.5 |
14 | 16.5 | 81.0 |
15 | 16.5 | 97.5 |
16 | 16.5 | 114.0 |
17 | 16.5 | 130.5 |
18 | 16.5 | 147.0 |
19 | 16.5 | 163.5 |
20 | 16.5 | 180.0 |
Job Creation
The project will generate approximately 80 direct jobs (engineers, technicians, operators) and 200 indirect jobs (construction, supply chain, maintenance). During construction (2-3 years), up to 500 temporary jobs will be created, supporting Vietnam’s rural development goals.
Environmental Benefits
- Brine Management: Resource recovery reduces discharge volume by 50-70%, minimizing marine ecosystem impact.
- Water Security: Provides sustainable fresh water, mitigating groundwater depletion and salinity intrusion in the Mekong Delta.
- Carbon Footprint: Renewable energy integration reduces energy intensity; resource recovery offsets environmental impacts of traditional mining.
- Resource Efficiency: Promotes a circular economy by repurposing byproducts.
Economic Benefits
- Revenue Generation: Dual streams from water and resource sales yield $46.5 million annually.
- Industrial Support: Reliable water supply enhances agriculture and manufacturing in water-stressed regions.
- Cost Savings: Resource recovery offsets desalination costs by 20-30%.
- Broader Impact: Boosts GDP through job creation, reduced imports, and potential exports.
Incentives from Government and World Bank
Vietnamese Government Incentives
- Tax reductions and subsidies for water and green projects (e.g., 10-20% tax breaks).
- Support for desalination in drought-prone areas, including land allocation and expedited permits.
- Grants for renewable energy integration under water security initiatives.
World Bank Support
- Low-interest loans/credits for water projects ($100-300 million precedents).
- Results-based financing for rural water supply, with Vietnam-specific programs (e.g., $315 million for sanitation).
- Green bonds for sustainable projects, as in recent $50 million water purification initiatives.
Geodyn Solutions recommends pursuing World Bank partnerships for up to 50% project funding.
Conclusion and Next Steps
This 100 MLD desalination plant with resource recovery offers a sustainable solution for Vietnam’s water challenges, delivering robust ROI and advancing environmental and economic objectives. Geodyn Solutions is prepared to lead implementation, leveraging feasibility studies and partnerships.
Next steps:
- Conduct site survey and environmental impact assessment.
- Secure government and World Bank incentives.
- Develop detailed engineering designs.
Contact Geodyn Solutions for further engagement.
