TOKYO: Vietnam's new oil refinery jointly owned by the Kuwaiti, Japanese and Vietnamese companies has begun commercial operation, Japan's leading refiner Idemitsu Kosan Company announced yesterday. The 200,000 barrels-per-day Nghi Son Refinery and Petrochemical Complex is Vietnam's second refinery and the first with foreign investors' participation, is located about 180 kilometers south of the capital Hanoi. The joint project is 35.1 percent evenly owned by state-run Kuwait Petroleum International (KPI) and Idemitsu, 25.1 percent by PetroVietnam and 4.7 percent by Mitsui Chemicals Inc, the Tokyo-based firm said in a press release.

Of the total investment capital of $9 billion for the joint venture, $4 billion is contributed by the four co-investors, it said, adding that its construction started in 2013. "Intended to secure stable domestic supplies of petroleum products in Vietnam, the refinery is a highly efficient facility that has the capacity to process 200,000 bpd of crude oil as well as to maximize production of high-value-added petroleum products through use of sophisticated cracking facilities," said Idemitsu. "Its petroleum products will provide a stable supply to meet Vietnam's booming demand for energy, and its petrochemical products will be sold throughout Asia," it added. - KUNA