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Vietnam’s largest oil refinery begins commercial operations

Tuesday, 25/12/2018 GMT+7

Vietnam’s largest oil refinery begins commercial operations

 

Vietnam’s largest oil refinery begins commercial operations

Nghi Son has started commercial operations this Sunday. Photo acquired by VnExpress

The Nghi Son Refinery began commercial operation Sunday, and is expected to meet about 40 percent of domestic petroleum demand in 2019.

Speaking at its inauguration, Prime Minister Nguyen Xuan Phuc emphasized the key role of the project.

The refinery will process 200,000 barrels of crude per day in the first phase, equivalent to 10 million tons a year, double the capacity of Dung Quat, Vietnam’s only other refinery, in the central Quang Ngai Province. 

Situated in the Nghi Son Economic Zone, 200 km south of Hanoi in the central province of Thanh Hoa, Nghi Son is expected to hit 80 percent of capacity next year.

According to the Thanh Hoa People's Committee, last June the refinery was already capable of 10 refined petroleum products such as liquefied petroleum gas, gasoline A92, A95, diesel oil, and kerosene. 

As of December the plant has processed around five million tons of crude. 

Nghi Son together with Dung Quat is expected to meet 80-90 percent of domestic petroleum demand, reducing Vietnam’s dependence on imports.

The $9 billion refinery is 35.1 percent owned by Japan’s Idemitsu Kosan Co, 35.1 percent by Kuwait Petroleum, 25.1 percent by state-run PetroVietnam and 4.7 percent by Mitsui Chemicals Inc.


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