Petrovietnam joins hands with the world's largest private company to invest in a $37 million industrial gas project

Petrovietnam - Ảnh 1. — Two corporations signed a cooperation agreement - Photo: M.ANH

On November 11, PetroVietnam Chemicals and Services Joint Stock Corporation (PVChem), a member unit of Vietnam National Energy Industry Group ( Petrovietnam ), and Messer SE & Co. KGaA Industrial Gas Group (Germany) signed a joint venture contract to establish Cai Mep Industrial Gas Company Limited.

Green energy project reduces emissions

Joint venture to invest in building an industrial gas production plant in Cai Mep Industrial Park, Ho Chi Minh City, with a capacity of 200,000 tons/year and a total investment of about 37 million USD. The plant is expected to start construction at the end of 2026 and be commercially operational by the end of 2028.

Cai Mep Industrial Gas Plant is designed according to a green and circular economic model, utilizing cold energy from PVGas' LNG storage system. With European Cryogenic Air Separation (CAS) technology, the project recovers energy and significantly reduces electricity and cooling water, thereby reducing indirect CO₂ emissions.

Mr. Le Manh Hung - Chairman of Petrovietnam - affirmed that the Messer - PVChem Joint Venture project is a concrete step in implementing Petrovietnam's green energy and circular economy strategy, in line with Vietnam's carbon neutrality goal.

According to Mr. Bernd Eulitz - General Director of Messer SE Co. KGaA, the cooperation with PVChem and Petrovietnam in implementing the LNG-ASU integrated solution aims to optimize energy efficiency and meet European environmental standards.

The Cai Mep Industrial Gas Project will be designed with modern technology with a total investment of 35 million USD, of which Messer contributes 51% and PVCHEM contributes 49%. Messer representative affirmed that they will always be a sustainable strategic partner and together put the project into operation on schedule and effectively.

"The project is more than just a contractual partnership. It is a demonstration of our shared vision of sustainable industrial development, technological advancement and long-term cooperation, meeting carbon requirements with 600 tonnes of low-carbon nitrogen, oxygen and argon per day to supply local customers" - representative of Messer SE Co. KGaA.

Payback period 13 years

Meanwhile, Mr. Stefan Messer - Chairman of the Supervisory Board of Messer SE Co. KGaA, emphasized that this is a great opportunity for Vietnam's industry to reduce carbon emissions through the use of low-emission industrial gases - an essential factor for many economic and medical sectors.

Mr. Truong Dai Nghia - Chairman of PVChem Board of Directors - said that the joint venture with Messer is a strategic step to help PVChem expand green production, strengthen internal linkages within Petrovietnam and promote the formation of a sustainable value chain.

In terms of efficiency, with an expected production output of 200,000 tons/year, revenue of 310 billion VND/year, IRR of 13.6%, and a payback period of 13 years, the project promises to bring stable profits to shareholders, while creating jobs for local workers, as well as helping to reduce greenhouse gas emissions and promote a green economy.

Industrial gas production from green energy sources

By using advanced technology to produce industrial gases, the project reduces energy consumption by nearly 50% compared to conventional processes and significantly cuts carbon emissions.

This project directly supports the Government of Vietnam's commitment at COP26 to reduce emissions by 30% by 2030 and achieve net zero emissions by 2050.

This fits perfectly with Messer's long-term vision of green transition, clean energy and responsible industrial gas production.

NGOC AN

Source: https://tuoitre.vn/petrovietnam-bat-tay-hang-tu-nhan-lon-nhat-the-gioi-dau-tu-du-an-khi-cong-nghiep-37-trieu-usd-20251111134922343.htm