On August 20, Long Son Petrochemicals Company Limited (LSP, a member of SCG Group - Thailand) announced that it had restarted the entire petrochemical complex after a period of temporary suspension to control costs. The decision was made in the context of falling crude oil prices, helping to improve operating profit margins.

The company is also implementing the LSP Refinery Improvement Project (LSPE) with a total investment of 500 million USD, expected to be completed in 2027. The project aims to integrate more ethane into its feedstock portfolio (currently including naphtha and propane), helping to reduce operating costs by more than 30%, cut greenhouse gas emissions and enhance long-term competitiveness.

Long Son Petrochemical Complex resumes operation after 1 year of suspension..JPG
LSP restarts operations of the entire integrated petrochemical complex after nearly a year of suspension. Photo: LSP

Kulachet Dharachandra, CEO of LSP, said the drop in crude oil prices has opened up opportunities for the complex to re-operate while maintaining links with customers and the supply chain.

He emphasized that diversifying raw material sources with ethane gas is a key strategy, both strengthening competitiveness and contributing to strengthening economic and trade relations between Vietnam and the United States. The LSPE project is expected to create more than 1,000 jobs during the construction phase and promote local economic development.

Long Son Petrochemical Complex started construction in 2018, invested by SCG Group and its member companies, with a total capital of more than 5 billion USD. The factory is located in Long Son commune, Ho Chi Minh City (formerly Vung Tau city, Ba Ria - Vung Tau province).

The project includes an olefin upstream plant, 3 polyolefin downstream plants (HDPE, LLDPE, PP) and a port infrastructure system. The designed capacity reaches 1.4 million tons of olefin resins/year, providing essential raw materials for many industries such as packaging, agriculture , electronics and automobiles.

In 2024, after one month of commercial operations, LSP suspended operations in mid-October to control costs and await more favorable market conditions.

Source: https://vietnamnet.vn/to-hop-hoa-dau-hon-5-ty-usd-van-hanh-lai-sau-gan-1-nam-tam-dung-2434115.html