Burma has awarded a $2bn contract to Thailand construction company Italian-Thai Development to build a port and infrastructure project in the Dawei district.
The project includes the construction of a deep-sea port, buildings for the shipyard and maintenance work.
The port is expected to berth about 25 vessels ranging from 20,000t to 50,000t simultaneously at 22 wharves.
The site, which can handle 100 million tons of goods a year, will take ten years to complete under three phases of construction.
The project also includes petrochemical industries, a refinery, a steel plant, a power station, road and rail links from Dawei to Bangkok and an oil pipeline running alongside the transport links.