Dung Quat Ethanol Factory worth over 2,200 billion VND falls into disrepair

The factory worth over 2,000 billion VND, once expected to lead the biofuel market, is now deserted and rusting in the middle of Dung Quat Economic Zone (Quang Ngai) after many years of being "shelved".

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Dung Quat Bio-Ethanol Biofuel Plant, with a total investment of 2,219 billion VND, is invested by Central Petroleum Biofuel Joint Stock Company ( BSR -BF).

The project started construction on an area of 24.62 hectares in Dung Quat Economic Zone (Quang Ngai) in September 2009.

With modern technology investment, the factory was once considered the largest biofuel production facility in the Central region, with a maximum capacity of 100,000m3/year (equivalent to 80,000 tons of ethanol), using the main raw material of dried cassava chips (about 230,000 tons/year) to produce bioethanol to blend E5 gasoline, distributed to the market.

In 2014, the factory was put into commercial operation, producing 330 tons of ethanol products per day, contributing to promoting the E5 bio-fuel market nationwide.

However, contrary to expectations, in April 2015, this factory had to temporarily stop operations due to prolonged losses and difficulties in product output.

After 3 years of closure, BSR-BF signed a cooperation contract with a company to restart the Dung Quat Bio Ethanol plant in two short batches (from October 2018 to April 2019), producing about 2,000 m3 of ethanol. However, it then fell into a state of stagnation and continued to be shut down until now.

After many years of being "shelved", many items and equipment of the factory have seriously degraded, become abandoned, rusted, causing great waste.

Some pictures of the factory's current status recorded on July 14:

Dung Quat Bio-Ethanol Factory is deserted and degraded after a long period of stopping production.

The entrance gate to the factory of Central Petroleum Biofuel Joint Stock Company (BSR-BF) is always closed.

Abandoned for a long time, many items of the project have shown signs of deterioration.

The chimney of the furnace has been lying dormant for many years.

Tanks worth tens of billions of dong have been exposed to the sun and rain for a long time.

The pipes between the large tanks inside the factory have turned discolored and many items are damaged.

The administration building was deserted, with only a few guards on duty to protect the property.

The factory applies ethanol production technology of APTI, USA.

However, up to now, the construction and machinery are now just bare blocks of steel and concrete.

Grass grows everywhere.

The raw material and biofuel processing area is gradually deteriorating and rusting.

The desolate scene of the trillion-dollar factory makes anyone who sees it feel sorry.

At the conference to review the supply of gasoline in the first 6 months of 2025 (June 24), Minister of Industry and Trade Nguyen Hong Dien assigned the Department of Domestic Market Management and Development to coordinate with relevant units, especially the Department of Innovation, Green Transformation and Industrial Promotion, to develop a roadmap for the implementation of E10 biofuel, expected to be applied from January 1, 2026.

Besides, there is also information that BSR-BF will restart Dung Quat Ethanol Biofuel factory to ensure supply.

Speaking with VietNamNet reporter, Mr. Luong Kim Son - Head of Dung Quat Economic Zone Management Board and Quang Ngai Industrial Parks, said he has not received any information about restarting the Dung Quat Bio Ethanol factory.

According to Mr. Son, the viewpoint of the unit and the locality is to hope that the project will soon be resolved and restarted so as not to waste capital and land... At the same time, it will create many jobs for people, contributing to the economic development of the province.

E10 biofuel is expected to start using from January 1, 2026. This information was given at the 6-month review conference on the situation of gasoline supply to the market and the direction and tasks for the last 6 months of 2025 organized by the Ministry of Industry and Trade on the morning of June 25.

Source: https://vietnamnet.vn/nha-may-ethanol-dung-quat-hon-2-200-ty-dong-roi-vao-hoang-phe-2421875.html