Nghi Son Refinery is the second oil refinery in

Vietnam Vietnam, officially the Socialist Republic of Vietnam (SRV), is a country at the eastern edge of mainland Southeast Asia, with an area of about and a population of over 100 million, making it the world's List of countries and depende ...

. It is located about south of

Hanoi Hanoi ( ; ; ) is the Capital city, capital and List of cities in Vietnam, second-most populous city of Vietnam. The name "Hanoi" translates to "inside the river" (Hanoi is bordered by the Red River (Asia), Red and Black River (Asia), Black Riv ...

in Tinh Gia District of Thanh Hóa Province. Site-clearing for the project broke ground in 2008. Construction began on 23 October 2013, and refinery operations were targeted for 2017. Planned capacity is , slightly greater than that of Vietnam's first Dung Quat refinery. The site-clearing phase entailed the resettlement of 350 households with 1,500 people and the surface leveling of the area.

Technical features

Nghi Son refinery would have a designed capacity of 10 million tons of crude oil per year with possibility to increase the capacity to 20 million tons. It is expected to cost US$9 billion. The refinery project will also include petrochemical complex, energy facilities, pipeline and storage systems. In addition to LPG, unleaded gasoline,

kerosene Kerosene, or paraffin, is a combustibility, combustible hydrocarbon liquid which is derived from petroleum. It is widely used as a fuel in Aviation fuel, aviation as well as households. Its name derives from the Greek (''kērós'') meaning " ...

jet fuel Jet fuel or aviation turbine fuel (ATF, also abbreviated avtur) is a type of aviation fuel designed for use in aircraft powered by Gas turbine, gas-turbine engines. It is colorless to straw-colored in appearance. The most commonly used fuels for ...

, diesel and FO, the refinery is projected to produce

bitumen Bitumen ( , ) is an immensely viscosity, viscous constituent of petroleum. Depending on its exact composition, it can be a sticky, black liquid or an apparently solid mass that behaves as a liquid over very large time scales. In American Engl ...

propylene Propylene, also known as propene, is an unsaturated organic compound with the chemical formula . It has one double bond, and is the second simplest member of the alkene class of hydrocarbons. It is a colorless gas with a faint petroleum-like o ...

and BTX as a raw material for the petrochemical industry. The refinery will be supplied with crude oil imports from Kuwait.

Construction

The refinery was designed and built by a syndicate of EPC contractors including JGC Corporation and Chiyoda Corporation from Japan, GS Engineering & Construction Corporation and SK Engineering & Construction Co. from South Korea, Technip from France and Malaysia's Technip Geoproduction. 70% of the construction costs will be financed through the

Japan Bank for International Cooperation The , JBIC, is a Japanese public financial institution and export credit agency that was created on October 1, 1999, through the merger of the Japan Export-Import Bank (JEXIM) and the Overseas Economic Cooperation Fund (OECF). JBIC became the ...

. According to Bloomberg, JGC won the EPC contract to build the refinery in 2011.

Consortium

The project was developed by a consortium of international companies. Petrovietnam holds 25.1%,

Idemitsu Kosan is a Japanese petroleum company. It owns and operates oil platforms, Oil refinery, refineries, produces and sells petroleum, oils and petrochemical products, and also operates gas stations under the brand and until 2023, in its own ''Idemitsu' ...

and Kuwait Petroleum International each hold a 35.1% share and Mitsui Chemicals has the remaining 4.7% of shares. A contract to set up a joint venture was signed on 7 April 2008.

Operations

The refinery began its first production of MOGAS 92 in May 2018, it started commercial operations in mid-November 2018.

References

External links