Developing Dung Quất Economic Zone into a national centre for petrochemical refinery and energy

Minister of Industry and Trade Nguyễn Hồng Diên speaks at the meeting. — VNA/VNS Photo

QUẢNG NGÃI — The Minister of Industry and Trade Nguyễn Hồng Diên noted that Quảng Ngãi should build and develop Dung Quất into a national oil refinery and energy centre.

A working delegation of the Ministry of Industry and Trade (MoIT) led by Minister Diên, together with the People’s Committee of Quảng Ngãi Province, discussed the implementation of national sectoral planning in the fields of energy and minerals in the province on Thursday.

Diên asked the province to proactively promote and form a connection between Dung Quất Economic Zone and Chu Lai Economic Zone to become a strong, synchronous, modern marine economic center in logistics, connecting smoothly with the central and Central Highlands regions and countries in the Southeast Asian region.

Reporting at the meeting, vice chairman of the provincial people’s committee Trần Phước Hiền said that the province’s GRDP was estimated at VNĐ28.3 trillion (US$1.16 billion) in the first seven months of this year, a growth of 3.71 per cent over the same period last year.

Of which, the added value of the industrial sector was estimated at VNĐ8.1 trillion, a year-on-year increase of 0.6 per cent.

The industrial production has shown many positive signs in the province in the past seven months and most of the industries in the processing and manufacturing industry have recovered production.

However, the province’s industrial production index declined by 4.32 per cent year-on-year.

The reason is that Dung Quất Oil Refinery stopped operating for the fifth general periodic maintenance.

Currently, Quảng Ngãi Province is focusing on supporting investors to accelerate the implementation of large-scale projects that have a spillover effect on attracting investment and promoting socio-economic development.

The province is accelerating co-ordination with the MoIT to develop the national oil refinery and energy centre project in Dung Quất Economic Zone, co-ordinate to prepare feasibility study reports for the Dung Quất I Combined Gas Turbine Power Plant Project and the Dung Quất III Combined Gas Turbine Power Plant Project.

The projects are invested by the Việt Nam Electricity with capacity of 750MW each plant.

The Dung Quất II Combined Cycle Gas Turbine Power Plant project, developed by Sembcorp Utilities Pte Ltd (Singapore) under a BOT (Build-Operate-Transfer) model, features a capacity of 750 MW and an investment of approximately $793 million. The plant will utilise gas from the Blue Whale gas field.

The investor has prepared and submitted a feasibility study report, which was approved by the Ministry of Industry and Trade (MoIT) in Decision No. 4345/QĐ-BCT dated November 20, 2018.

The investor is currently working with the MoIT to advance the project, including finalising the BOT contract in accordance with regulations. — VNS