Vietnam to seek foreign investment for 3rd refinery

State oil group Petrovietnam plans to seek foreign investment for around 30 energy and real estate projects including Long Son oil refinery, Vietnam’s third such facility, a state-run newspaper reported on Friday.

Petrovietnam will organise a roadshow in Japan on June 20-25 to attract investor interest in the projects, the Vietnam News Agency-run Tin Tuc daily quoted Deputy Chief Executive Nguyen Tien Dung as saying.

After Japan, Petrovietnam will also organise similar investment promotion trips to South Korea, the United States, the Middle East and Russia, the daily said.

The plan emerged after Venezuela’s state oil firm PDVSA withdrew from the $7-billion project to build the 240,000-bpd Long Son refinery in southern Vietnam, a state-run newspaper quoted Petrovietnam Chief Executive Phung Dinh Thuc as saying last October.

Late last month, Petrovietnam took delivery of the first oil refinery, the 130,500-bpd Dung Quat plant, from French oil services firm Technip (TECF.PA: Quote), which built the plant on Vietnam’s central coast.

Petrovietnam is also working on the second refinery, the $8-billion 200,000-bpd Nghi Son plant in the northern province of Thanh Hoa and plans to sign an engineering, procurement and construction contract with the winning bidder in the third quarter of this year.

Once completed in late 2013, Nghi Son and Dung Quat are forecast to meet 80 percent of domestic demand for oil products.

reuters

Tags: Long Son oil refinery, Vietnam Refinery