Promoting BSR's strategic breakthrough towards green and sustainable development

On June 21, at Dung Quat Oil Refinery, a working delegation led by Mr. Le Manh Hung - Party Secretary, Chairman of the Board of Directors of Vietnam National Oil and Gas Group (Petrovietnam) and members of the Board of Directors and the Board of Management of the Group worked with Binh Son Refining and Petrochemical Joint Stock Company (BSR) on solutions to promote production and business in 2025, development orientation for the next 5 years (2026 - 2030) and development strategy to 2030, vision to 2050.

Optimize operations, focus on promoting R&D, innovation and digital transformation

Reporting to the working delegation, Mr. Bui Ngoc Duong - Chairman of the Board of Directors of BSR said that in the first 6 months of the year , BSR has completed all production and business targets set by the 2025 Shareholders' Meeting. BSR is focusing on implementing drastic solutions to complete the production and business targets for 2025.

Overview of the working session between Petrovietnam and BSR on promoting production and business in 2025 and development strategy, 5-year plan for the period 2026 - 2030.

BSR has promoted scientific research (NCKH), innovation (ĐMST) and digital transformation (CĐS) at the unit. BSR has completed the establishment of the Innovation Center and organized the maximum exploitation of each workshop's capacity. In particular, BSR has increased the capacity of the Crude Oil Distillation Unit (CDU) from 114% to 118% and has completed the technical assessment to continue to increase it to 120% capacity. For the Dry Catalytic Cracking Unit (RFCC), BSR is currently researching and exploiting the marginal available capacity of 110% capacity. In addition, BSR is also promoting the increase of capacity of other workshops to increase output, bringing the best efficiency from the Dung Quat Refinery's operations.

BSR has also expanded its raw materials to reduce costs and control supply chain risks; diversified its products; researched and developed new technologies/products to maintain its market position; optimized energy efficiency, used catalysts and additives to save costs and reduce emissions into the environment. In addition, BSR has also increased the circulation coefficient, with recovery and emission reduction activities...

Mr. Bui Ngoc Duong - Chairman of BSR Board of Directors reported on development strategy and 5-year plan for the period 2026 - 2030.

Regarding the development strategy and 5-year plan for the period 2026 - 2030, BSR's goal will be to optimize raw materials, reducing costs by at least 1% compared to basic raw materials. BSR also strives to achieve high efficiency from innovation and digital transformation to contribute 10% of revenue and the efficiency from R&D, innovation and digital transformation will be twice the investment cost. In particular, the product structure will shift to synchronize with Net Zero/energy transition and enhance the value chain. In addition, continue to develop R&D capacity, to reach level 5 (effective) and digital transformation to reach level 5 (leading).

Mr. Nguyen Viet Thang - General Director of BSR reported to the working delegation on the production and business activities of BSR in recent times.

At the meeting, Mr. Nguyen Viet Thang - General Director of BSR said that in the first half of 2025, BSR produced more than 3.84 million tons of products (an increase of 16% compared to the plan) and consumed more than 3.8 million product panels. Thereby, total revenue reached more than 69.45 trillion VND (exceeding 22%), contributing more than 7.41 trillion VND to the State budget (exceeding 15%) and profit after tax also exceeded the plan. To complete the production and business targets in 2025, BSR identified and will simultaneously deploy key solutions such as: Optimizing operations and improving factory efficiency; promoting product diversification and improving quality; developing markets and improving competitiveness; promoting investment, digital transformation, application of science and technology, circular economy, green economy; Resolutely implement the Dung Quat Oil Refinery Upgrade and Expansion Project; implement financial solutions and cost-effective management; focus on developing high-quality human resources; ensure safety, environment, community and sustainable development.

Mr. Le Xuan Huyen - Deputy General Director of Petrovietnam commented that BSR needs to focus primarily on ensuring absolute safety for Dung Quat Refinery. At the same time, promote research, optimize the operation of the Plant, and make the most of the space to increase capacity. Regarding the 5-year plan 2026 - 2030, Deputy General Director Le Xuan Huyen suggested that the unit carefully study and calculate appropriate production and business indicators to contribute to the development of BSR. In particular, BSR needs to research on optimizing the plant to be increasingly "clean - green" to be environmentally friendly and produce "green" products, meeting the energy transition trend of Vietnam and the world. In addition, continue to coordinate and cooperate with units in the industry to create a chain of links within the Group, thereby increasing the production and business efficiency of the units.

Mr. Le Xuan Huyen - Deputy General Director of Petrovietnam emphasized the work of ensuring absolute safety in the operation of Dung Quat Oil Refinery. Thereby, continuing to study the feasibility of increasing the operating capacity of the factory's workshops to ensure safety and stability.

At the meeting, Mr. Pham Tuan Anh - Member of the Board of Directors of Petrovietnam also acknowledged and praised BSR's efforts in the production and business results in the first 6 months of 2025. BSR has also had many suitable and effective solutions, well managed fluctuations to achieve and exceed the set targets. Scientific research work has also brought many specific and effective results with positive results. Member of the Board of Directors of Petrovietnam Pham Tuan Anh also commented that in the coming time, the market, the energy transition process and competition will become increasingly fierce. Therefore, BSR needs to have strategic and breakthrough solutions in the unit's operations. At the same time, strive to participate in the global supply chain and promote scientific research, technology application in BSR's production and business.

Mr. Pham Tuan Anh - Member of the Board of Directors of Petrovietnam suggested that BSR needs to have strategic and breakthrough solutions in the unit's operations in the period of 2026 - 2030.

Accelerating energy transition and improving value chains

By 2030, BSR has set many goals to possess advanced, modern technology that is suitable for the energy transition trend and has the ability to compete in the region. At the same time, BSR aims to play a key role in forming the National Oil Refinery and Energy Center in Quang Ngai; participating in important investments in the investment chain of Long Son Oil Refinery and Petrochemical Complex. In addition, BSR will make an important contribution to ensuring national energy security and sustainable development of Petrovietnam, Quang Ngai province and the whole country; actively contributing to Vietnam's commitment at COP 26. In particular, the unit will actively care for and be highly responsible for the community, society and the environment.

By 2050, BSR will promote investment in petrochemicals and chemicals to increase the added value of petroleum products, creating new raw materials and materials to best serve the needs of domestic industrial production. In addition, research and investment will be conducted on sustainable, environmentally friendly fuel products, green products, and CO2 emission reduction. At the same time, develop production and application of renewable energy, green hydrogen, ammonia, etc. and new products with added value, CO2 recovery. In particular, BSR will research and implement a project to invest in a Green Hydrogen Production Plant on a commercial scale if the pilot-scale production project is successful and effective.

Mr. Bui Minh Tien - Member of Petrovietnam Board of Directors suggested that BSR continue to research strategic solutions on market operations and promote investment in line with the current energy transition trend.

At the meeting, Mr. Bui Minh Tien - Member of the Board of Directors of Petrovietnam suggested that BSR thoroughly research the market and investment activities, especially related to energy transition, to have a basis, basis, and calculation of supply - demand, product structure suitable for each stage. At the same time, continue to research to have quick, breakthrough, and clear investment activities early to suit the current trend.

Concluding the meeting, Mr. Le Manh Hung - Chairman of the Board of Directors of Petrovietnam highly appreciated BSR in scientific research, innovation and digital transformation. BSR has achieved many achievements and high awards inside and outside the Group. The Chairman of the Board of Directors of Petrovietnam also commented that BSR always has the exemplary, enthusiastic and united leadership, thereby creating high consensus and unanimity among the BSR collective. Regarding BSR's development strategy, the Chairman of the Board of Directors of Petrovietnam suggested that the unit needs to clearly define the vision, goals and mission of BSR in the coming period. BSR is moving towards sustainable transformation, it is necessary to clearly plan the competitiveness and market share of BSR at home and abroad. Along with the development work, BSR needs to summarize experiences from the period of 2020 - 2025, draw lessons to apply, and create momentum for development in the next 5 years. In particular, BSR needs to have breakthroughs and revolutions to create strong and creative innovation in scientific research; accelerate investment; focus on technological innovation and scientific application to create new "green - clean" products.

Mr. Le Manh Hung - Chairman of the Board of Directors of Petrovietnam requested BSR to provide solutions on business models, sustainable efficiency, science and technology, energy transition... to continue breakthrough development, in line with the transition trend in the period 2026 - 2030.

Petrovietnam Chairman of the Board of Directors Le Manh Hung also requested BSR to focus and propose solutions in BSR's development strategy in the next stages. Firstly, BSR needs to focus on risk management, ensuring the sustainability of the unit. Secondly, promoting efficiency in production and business activities, accelerating investment, upgrading, and expanding production scale. Thirdly, researching and resolving limitations in technology and products. Finally, Petrovietnam Chairman of the Board of Directors suggested that BSR needs to carefully research the development strategy in the strong energy transition trend. At the same time, BSR also needs to focus on managing capital, assets and cash flow, and at the same time, integrating with other units to increase efficiency in production activities in the next stages.

Thanh Hieu - Thanh Linh

Source: https://bsr.com.vn/web/bsr/-/thuc-day-dot-pha-chien-luoc-cua-bsr-theo-huong-phat-trien-xanh-va-ben-vung