Prime Minister inspects Thanh Hoa site for strategic petroleum reserve
(NLDO) - Vietnam is accelerating plans to build a strategic crude oil reserve in the Nghi Son area to support the refinery and meet broader energy needs.
On March 29, Prime Minister Pham Minh Chinh visited the Nghi Son Economic Zone in Thanh Hoa Province to survey the proposed site for a strategic petroleum reserve.
During the inspection in Hai Binh Ward, he urged local authorities to promptly engage with affected households and accelerate land clearance. The Prime Minister emphasized that the project must be designed for rapid deployment in emergency situations and entrusted to capable entities for implementation.
He underscored that diversifying supply sources is a guiding principle, contributing to the strengthening of Vietnam's energy security.
Prime Minister Pham Minh Chinh surveys the proposed site for a strategic petroleum reserve in the Nghi Son Economic Zone. Photo: VGP
Earlier, in talks with leaders of countries holding substantial oil reserves and strong production capacity, Prime Minister Pham Minh Chinh proposed cooperation and support for developing Vietnam's strategic petroleum reserves, including a site in Nghi Son.
He also toured the Nghi Son Refinery and Petrochemical Complex to review its operations and fuel supply.
At the meeting, executives from Nghi Son Refinery and Petrochemical LLC reported that the plant has been running stably at full capacity throughout March. They confirmed sufficient crude oil supply to sustain optimal operations through the end of May, enabling maximum output of petroleum products to meet domestic demand under the close coordination of the Ministry of Industry and Trade.
The Prime Minister stated that Vietnam will continue working with relevant countries and partners to further consider support measures and ensure the supply of crude oil input for the project. Photo: VGP
After hearing reports and opinions, Prime Minister Pham Minh Chinh affirmed that Vietnam will continue working with partner countries to explore support measures ensuring crude oil supply for the project. He highlighted the importance of advancing solutions that facilitate the transport of petroleum shipments through the Strait of Hormuz, including crude oil for the refinery.
The Prime Minister reiterated Vietnam's commitment to fast-tracking the construction of a strategic crude oil reserve in the Nghi Son area to serve the refinery and broader energy needs. He urged joint venture partners to swiftly diversify crude oil supply sources, stressing that this is both an urgent priority and a long-term safeguard.
In light of current circumstances, he also suggested that the plant temporarily reduce production of other petrochemical products and prioritize petroleum output, particularly aviation fuel.
The Nghi Son Refinery and Petrochemical Complex is a joint venture between leading corporations from Vietnam, Japan, and Kuwait. It stands as one of Vietnam's largest refineries, with a designed capacity of approximately 200,000 barrels of crude oil per day, equivalent to about 10 million tonnes annually.
Under normal conditions, the plant supplies around 35% of Vietnam's domestic petroleum demand, while also delivering high-quality petrochemical products to regional markets.