Government officials and representatives of RGE Group lay a foundation stone for the industrial park in Rugao, Nantong on March 31. [Photo/ntfabu.com]

An industrial park sponsored by Singaporean resources conglomerate Royal Golden Eagle Group started construction in Changjiang town, Rugao, Nantong on March 31, local media outlets reported.

The park, which will cost 41 billion yuan ($6.24 billion) to build, is the largest comprehensive project in a city and a province in China in terms of investment volume.

It will cover about 200 hectares and include many of RGE’s various products, including lyocell fabric, palm oil, and ivory board. The first phase of construction will consist of an ivory card board plant and a lyocell fabric plant.

The ivory card board plant, which has 20 billion yuan in investment, will adopt advanced technology and equipment to ensure environmentally friendly production. The first phase production capacity is expected to reach 1 million metric tons annually, promoting the development of local upstream and downstream industries, involving transportation, construction materials, machinery, packaging, as well as printing.

The lyocell fabric project, with 6 billion yuan in investment, will also adhere to the principle of low pollution. The first phase includes 4 billion yuan to build a production facility, with an annual output of 200,000 tons of fabric.

At the foundation laying ceremony, Sukanto Tanoto, chairman of RGE Group, thanked governments at all levels in Nantong for their support for the project. 

He said that he will make full use of the group's global resources in technology, personnel, and management to build the Rugao facility into a world-class industrial park, contributing to the town’s regional economic and social development.

RGE Group operates a number of resource-based businesses involving forestry pulp paper, palm oil, fiber, and energy mainly in Singapore, Indonesia, China, the Philippines, Malaysia, as well as Brazil. It has more than 60,000 employees worldwide and total assets of more than $20 billion.