Construction starts on Vietnam’s first petrochemical complex
Prime Minister Nguyen Xuan Phuc gave the order to start construction on the Long Son Petrochemicals (LSP) Complex – the first of its kind in Vietnam – at a ceremony on February 24 in the southern province of Ba Ria-Vung Tau.
The event also saw the presence of Thai Ambassador to Vietnam Manopchai Vonghakdi besides local officials.
The 464ha project is invested by the Long Son Petrochemical Co. Ltd., a joint venture between Thailand’s Siam Cement Group (SCG) and the Vietnam National Oil and Gas Group (PetroVietnam), with a total capital of 5.4 billion USD.
Once operational in 2022, the complex is expected to have a capacity of 1.6 million tonnes of olefin per year.
According to Chairman of Ba Ria-Vung Tau provincial People’s Committee Nguyen Van Trinh, during construction, the project will create jobs for around 20,000 labourers. Once operational, it is expected to create jobs for over 1,000 technical workers and contribute about 60 million USD per year to the provincial and the state budget.
Speaking at the event, PM Nguyen Xuan Phuc said that the start of the project was good news for Vietnam’s petrochemical sector.
As this was the initial phase of the project, the investor should exert efforts to ensure the project’s progress and apply advanced technologies in order to ensure absolutely safe operation, he stated.
He asked Ba Ria-Vung Tau province to supervise the investor’s compliance to regulations on protecting the natural and social environments, maintaining locals’ traditional culture, and restoring local natural forests to serve sustainable and long-term development.
Given the large number of workers participating in the project’s construction, the Government leader requested the investor, contractors and the province to strictly obey labour safety regulations.
The investor and locality also need to ensure long-term resettlement for locals, including vocational training, while local communities should facilitate the construction of the project, he said.
Emphasising that the project’s success is Vietnam’s success, PM Phuc asked ministries, sectors, PetroVietnam and Ba Ria-Vung Tau to create favourable conditions for the project, which besides its economic value also has a great political significance in the context of the Vietnam-Thailand strategic partnership.
SCG is one of the leading corporations in Southeast Asia with interests in cement production, construction materials, chemicals and packaging. It now has over 200 subsidiaries and more than 57,000 employers. It began investing in Vietnam in 1992.