Oil Refinery in Vietnam

Oil refineries are crucial to the global energy supply chain, transforming crude oil into valuable products like gasoline, diesel, and various industrial chemicals. In this article, NSRP will explore the operations and significance of oil refineries, as well as highlight the leading refineries in Vietnam.

1. Introduction of the oil refineries

An oil refinery is an industrial complex dedicated to converting and refining crude oil into higher-value petroleum products, including gasoline, jet fuel, diesel, lubricants, and various petrochemicals. This intricate process involves multiple stages, such as distillation, fractionation, and conversion, all aimed at optimizing performance and ensuring high-quality outputs.

Equipped with advanced machinery and a streamlined production process, oil refineries serve not only as production facilities but also as symbols of industrial progress, significantly enhancing the quality of life in the communities they serve.

Photo of Nghi Son Refinery & Petrochemical LLC (NSRP)

2. Oil Refineries in Vietnam

Currently, Vietnam is home to two major oil refineries: Nghi Son Refinery & Petrochemical LLC (NSRP) and Dung Quat Oil Refinery. Both facilities are equipped with modern technology and built on a large scale, playing a crucial role in ensuring the country’s energy security. These refineries significantly contribute to Vietnam’s economic development and industrialization efforts.

The oil refineries in Vietnam at present include Nghi Son Refinery & Petrochemical LLC and Dung Quat Oil Refinery.

3. Nghi Son Refinery and Petrochemical LLC – The largest oil refinery and petrochemical complex in Vietnam

3.1 General overview

Nghi Son Refinery and Petrochemical LLC (NSRP) is situated in the Nghi Son Economic Zone, Hai Yen Commune, Nghi Son District, Thanh Hoa Province. It represents the largest foreign direct investment (FDI) project in Vietnam and stands as the most complex deep-processing petrochemical facility in the country and the region, featuring 38 state-of-the-art technology workshops.

Strategically located along the East Sea coast, approximately 200 km north of Hanoi, the refinery enjoys excellent transportation access and offers stunning panoramic views of the sea.

With the designed capacity of 200,000 barrels of crude oil/day, equivalent to 10 million tons per year,, Nghi Son Refinery meets approximately 30-40% of the domestic gasoline consumption demand, playing a vital role in ensuring national energy security.

Nghi Son Refinery is one of the most complex designed refineries operating in Asia at present.

Nghi Son Refinery and Petrochemical LLC is committed to sustainable development, guided by the principle of “not trading off the environment for economic growth.” Environmental protection is a top priority, with a total investment of 300 million USD allocated to community and environmental projects.

Beyond generating economic value, Nghi Son Refinery is dedicated to fostering a better community where everyone can thrive together.

With the policy of “not trading off the environment for economic development,” Nghi Son Refinery and Petrochemical LLC has invested in environmental protection measures to minimize its impact on the environment.

In addition to ensuring effective and sustainable production and business operations, the Company prioritizes Social and Community activities, actively contributing to the sustainable development of both the local community and the country as a whole. To achieve these objectives, NSRP established the Social and Community Team at the project’s inception, focusing on a variety of practical initiatives that demonstrate its commitment to the community, including:

• Vocational Training and Employment: Providing training aligned with local labor market needs in fields such as construction, welding, tourism, and agriculture, along with job placement support to help individuals find suitable employment.
• Healthcare Initiatives: Enhancing quality of life through medical support programs, health check-ups, and education on health awareness.
• Scholarship Programs: Offering scholarships to students to support their educational pursuits and foster future talent.

Responsibilities to the society and community are always the core values of Nghi Son Refinery and Petrochemical LLC

3.2 Main products of the Refinery

Nghi Son Refinery and Petrochemical LLC is one of the largest and most modern oil refineries in Vietnam, playing a crucial role in ensuring a reliable supply of petroleum for the domestic market. The refinery produces a diverse range of refined petroleum products to meet the needs of various industries and consumers.

Nghi Son Refinery and Petrochemical LLC produces two main product categories:

• Petrochemical Products
• Refined Products

In which, the major commercial products of the refinery include: Liquefied Petroleum Gas (LPG), Unleaded gasoline (Gasoline RON 92 & RON 95), Diesel Oil (Diesel Oil – DO Regular 500 & 350 ppm S and Premium 50 & 10 ppm S), Jet gasoline (JET A-1), Fuel oil (FO), Benzene, Para-xylene, Polypropylene (PP), and Sulfur (Sulfur – S).

The oil refinery is a crucial component of the global energy supply chain, and particularly so in Vietnam. With advanced technology and modern refining processes, these facilities significantly contribute to economic development and ensure energy security. Through this article from NSRP, we hope readers gain valuable insights into the role and importance of oil refineries.