Vietnam to receive foreign investment for building oil refinery
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  • The Vietnam Investment Review reported that the Pacific Development Group of the United States would sign a Memoranda of Understanding to build an oil refinery capable of annually processing 10 million tons of crude oil in its southern province of Ca Mau.

    Dung Quat, Vietnam’s first refinery costing $2.5 billion with an annual processing capacity of 6.5 million tons of crude oil was scheduled to begin operations in February 2009. Its sole investor was the state-owned Vietnam National Oil and Gas Group (Petro Vietnam). Construction of the second refinery in northern Thanh Hoa province with initial investment of $6.2 billion started in May this year. It would have a refinery capacity of 10 million tons of crude oil per annum once it starts its operations in 2013. The Nghi Son project was a joint of Petro Vietnam, Kuwait Petroleum International and the Japanese Idemitsu Kosan Corp and Mitsui Chemicals Inc.
    Vietnam’ss third refinery would be the located in the southern province of Ba Ria Vung Tau, to be operational by 2015, capable of processing 10-15 million tons of crude annually.

    Vietnam exported 7.8 million tons of crude oil worth $6.8 billion in the first seven months of th year, down 12.1 percent in volume, but up 52.2 percent in value against the same period last year, according to the country’s General Statistics Office. Meanwhile, it imported roughly 8.3 million tons of petroleum products, totaling nearly $7.8 billion, up 11.4 percent and 90.7 percent respectively1.