Nghi Son Refinery
Encyclopedia
Nghi Son Refinery is the second planned oil refinery in Vietnam
Vietnam
Vietnam – sometimes spelled Viet Nam , officially the Socialist Republic of Vietnam – is the easternmost country on the Indochina Peninsula in Southeast Asia. It is bordered by China to the north, Laos to the northwest, Cambodia to the southwest, and the South China Sea –...

. It would be located about 200 kilometres (124.3 mi) south of Hanoi
Hanoi
Hanoi , is the capital of Vietnam and the country's second largest city. Its population in 2009 was estimated at 2.6 million for urban districts, 6.5 million for the metropolitan jurisdiction. From 1010 until 1802, it was the most important political centre of Vietnam...

 in Tinh Gia District of Thanh Hoa Province. Site-clearing for the project broke ground in 2008. Construction is expected to begin in 2011, and refinery operations are targeted for 2014. Planned capacity is 200000 oilbbl/d, slightly greater than that of Vietnam's first Dung Quat refinery
Dung Quat Refinery
Dung Quat refinery is an oil refinery in Quang Ngai Province, Vietnam. It is the first oil refinery in Vietnam.-History:The refinery project started already in 1980s. The refinery was planned to be construct near the port of Vung Tau, just away from the offshore oil fields. In 1988, the clearance...

. The site-clearing phase entails 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$6.2 billion. The refinery project will also include petrochemical complex, energy facilities, pipeline and storage systems, and an informatics system. In addition to LPG, unleaded gasoline, kerosene
Kerosene
Kerosene, sometimes spelled kerosine in scientific and industrial usage, also known as paraffin or paraffin oil in the United Kingdom, Hong Kong, Ireland and South Africa, is a combustible hydrocarbon liquid. The name is derived from Greek keros...

, jet fuel
Jet fuel
Jet fuel is a type of aviation fuel designed for use in aircraft powered by gas-turbine engines. It is clear to straw-colored in appearance. The most commonly used fuels for commercial aviation are Jet A and Jet A-1 which are produced to a standardized international specification...

, diesel and FO, the refinery is projected to produce bitumen, propylene
Propylene
Propene, also known as propylene or methylethylene, is an unsaturated organic compound having the chemical formula C3H6. It has one double bond, and is the second simplest member of the alkene class of hydrocarbons, and it is also second in natural abundance.-Properties:At room temperature and...

 and BTX as a raw material for the petrochemical industry.

The refinery will be supplied with crude oil imports from Kuwait.

Construction

The design contract is awarded to Foster Wheeler. The refinery will be built by the consortium, which comprises Saha Regal Best of Thailand, Leighton Holdings
Leighton Holdings
Leighton Holdings is Australia's largest project development and contracting group. It is active in the telecommunications, engineering and infrastructure, building and property, mining and resources, and environmental services industries...

, Honeywell
Honeywell
Honeywell International, Inc. is a major conglomerate company that produces a variety of consumer products, engineering services, and aerospace systems for a wide variety of customers, from private consumers to major corporations and governments....

 and Global Union of Australia, Transkon Group of Malaysia, Jardine Lloyd Thompson Group
Jardine Lloyd Thompson Group
Jardine Lloyd Thompson Group is a leading British-based insurance and re-insurance business. It is a constituent of the FTSE 250 Index.-History:...

 of the United Kingdom
United Kingdom
The United Kingdom of Great Britain and Northern IrelandIn the United Kingdom and Dependencies, other languages have been officially recognised as legitimate autochthonous languages under the European Charter for Regional or Minority Languages...

 and Kunming
Kunming
' is the capital and largest city of Yunnan Province in Southwest China. It was known as Yunnan-Fou until the 1920s. A prefecture-level city, it is the political, economic, communications and cultural centre of Yunnan, and is the seat of the provincial government...

 No. 1 Construction and Engineering of China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...

. 70% of the construction costs will be financed through the Japan Bank for International Cooperation
Japan Bank for International Cooperation
The , also known by its acronym, JBIC, is a Japanese public financial institution and export credit agency, and was created on October 1, 1999, through the merging of the Japan Export-Import Bank and the Overseas Economic Cooperation Fund ....

.
According to Bloomberg, JGC win the EPC Contract to build the refinery in 2011.
JGC Group Wins Vietnam Refinery Contract, Nikkei Says
http://www.bloomberg.com/news/2010-12-13/jgc-group-wins-vietnam-refinery-contract-nikkei-says-update1-.html

Consortium

The project is developed by consortium of international companies. Petrovietnam
Petrovietnam
PetroVietnam is the trading name of Vietnam Oil and Gas Group . PetroVietnam has developed rapidly since it was established in 1977, and its activities, through its various companies and wholly owned subsidiaries, now cover all the operations from oil and gas exploration and production to...

 holds 25.1%, Idemitsu Kosan
Idemitsu Kosan
is a Japanese petroleum company. It owns and operates oil platforms, refineries and produces and sells petroleum, oils and petrochemical products products....

 and Kuwait Petroleum International each hold a 35.1% each, and Mitsui Chemicals
Mitsui Chemicals
is a Japanese Chemicals company listed on the Nikkei. It is a part of the Mitsui conglomerate. The company has a turnover of around 15 billion USD and has business interests in Japan, Europe, China, Southeast Asia and the USA. It employs approximately 13,000 people worldwide. The company mainly...

has the remaining 4.7% of shares. A contract to set up a joint venture was signed on 7 April 2008.

External links

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