Tran Le Trung, Head of the Management Board of the Dung Quat Economic Zone, explained why the Tycoon Worldwide Group decided on Dung Quat to set up a big steel ingot mill. The main reason is that Dung Quat has the advantage of transportation. The steel mill needs to import coal coke and iron as raw material, as Dung Quat has a deep sea gulf. Also, the steel mills need to consume huge water during production process, which Dung Quat can provide sufficient supply. Dung Quat also can provide good infrastructure system. Although Vietnam has the reserves of iron ore in other place, Trans Le Trung said that it is not efficient to develop the mines because the mines are around 400 to 700 meters above sea and the zinc content of iron ore is over average acceptable level.(Nov. 15)