Russian group eyes Vietnam oil refinery, in partnership with PTT
A Russian business delegation went on a fact finding tour to the central province of Binh Dinh last week to have a better look at the Nhon Hoi Oil Refinery Complex, which will be built in the locality.
Igor Soglayev, General Director of Sarvors Company under the Russian Rosneft Oil and Gas Group who led the delegation said Rosneft had worked with the PTT Public Company Limited (PTT) of Thailand the project's investor to announce its intention to become one of PTT's strategic partners in the project.
Rosneft is now one of the world's leading petroleum groups, with production capacity of 250 million tonnes of oil per year and annual profit of US$2.8 billion.
Soglayev asked about the transparency of Nhon Hoi Economic Zone's investment incentives, infrastructure, and working conditions.
He said the project would need at least $25 billion in investment capital and 20,000–30,000 regular workers. Therefore it would requires basic and huge support from the Vietnamese Government and the provincial authorities.
The project should become operational in 2018, he suggested.
Soglayev also revealed that Rosneft President Igor Sechin would study more carefully about the project while accompanying Russian President Vladimir Putin on his forthcoming visit to Vietnam.
Binh Dinh Provincial People's Committee Chairman Le Huu Loc explained preferential policies that the Vietnamese Government would apply to the Nhon Hoi Economic Zone.
He addressed all of Soglayev's concerns, saying that the province's infrastructure and natural conditions were well suited to oil refinery projects.
The Quy Nhon University had signed a co-operative agreement with Thailand's Songkla University to train workers for the project, he noted.
PTT is trying to complete all study procedures to submit to relevant agencies in April 2014.
According to PTT, the project will cost around $28 billion and PTT is calling for more investment partners to the project.
Once completed and put into operation, the Nhon Hoi complex will be one of the largest oil refinery complexes in Asia.
