Thai major inks deal with Qatari partner to invest in Vietnam petrochemical complex

25-Nov-09

As part of it's drive to become one of Southeast Asia's leading petrochemical producers, Siam Cement has planned its foray into the emerging markets of Asia. Thailand's largest industrial conglomerate has inked a deal with state oil major Qatar Petroleum International to invest upto US$4 bln in a petrochemical complex in Vietnam. The project is to be located in the southern province of Ba Rai Vung Tao, near a third refinery in Vietnam. The global economic crisis had presented a hindrance in the progress of the project that is to comprise a 1.4 mln tons olefins cracker that is highly flexible between gas and naphtha feedstock and will be fully-integrated into downstream products. Feedstock will be supplied by Qatar Petroleum. Vietnam’s state oil monopoly Petrovietnam and Vietnam National Chemical Corp. are to hold a combined 29% stake in the project, while the balance 71% is to be held by non-Vietnamese partners including Siam Cement, Qatar Petroleum and a trading firm. The investment will also include infrastructure such as shipping ports, a power plant and storage facilities.