LSP is the largest scale project to date, and is also the first fully integrated petrochemical complex in Vietnam. Total investment is more than 5 billion USD.
SCG Group has just announced the summary of 2023. Notably, SCG said that Long Son Petrochemical Complex has successfully started trial operation according to the proposed plan. At the same time, the process of machine operation and testing at maximum capacity is going smoothly and is expected to be completed in the first quarter of 2024.
Currently, SCG has started operating Long Son Petrochemical Complex (LSP) - this is Vietnam's first integrated petrochemical complex. LSP aims to produce 1.35 million tons of olefins and 1.4 million tons of polyolefins annually for the global market.
After 15 years of investment and spending billions of dollars, 2024 according to SCG will be the first year that Long Son Petrochemical Complex in Vietnam provides high quality polymer products to the global market.
It is known that LSP is the largest scale project to date, and is also the first fully integrated petrochemical complex in Vietnam. The project was granted an investment certificate in July 2008, with a total initial investment capital of 3.77 billion USD, then increased to 4.5 billion USD and increased to 5.4 billion USD in the final stage. Along with Dung Quat, Nghi Son, and Long Son oil refineries, this is a project that plays an important role in the development strategy of Vietnam's oil and gas industry.
The project is located in Long Son commune, Vung Tau City, including a lefin factory, a polyethylene factory and related items such as a specialized port - tank complex and a central utility factory with a total investment of more than 5 million VND. billion USD, with a land area of 464 hectares and a water surface area of 194 hectares (for the seaport system).
LSP has a total design capacity of 1.4 million tons of olefin resins/year, designed to produce a variety of petrochemical products, including products that are necessary raw materials for the plastic industry such as polyethylene, polypropylene and other products, helping to replace imported polyolefin products as well as increase competitiveness for downstream manufacturers in the domestic market.
In 2018, SCG officially owned 100% capital in the Southern Petrochemical Complex (Long Son Project).
SCG is one of the leading corporations in Southeast Asia operating in three main business areas: Cement - Construction Materials (SCG Cement-Building Materials), Petrochemicals (SCG Chemicals), and Packaging (SCG Packaging), SCG is no stranger to the Vietnamese market with dozens of large and small M&A deals in the past decade.
SCG began expanding its operations to Vietnam as a strategic country in 1992. Although it has only been entering the Vietnamese market for 23 years, the Group has had more than 20 mergers and acquisitions deals. , including sales with values up to several hundred million USD. One of the biggest deals is the acquisition of Prime Group, and a series of other names such as Binh Minh Plastics, Duy Tan Plastics, Bien Hoa Packaging, Tin Thanh Packaging....
Regarding business activities last year, SCG announced sales revenue of VND 342,220 billion, down 12% over the same period last year due to falling petrochemical product prices and not consolidating SCG Logistics Sales' business activities. In contrast, profit for the year reached VND 17,750 billion, up 21% over the same period, mainly from adjusting the fair value of investments in the first half of 2023.
As of December 31, 2023, SCG's total assets amounted to VND 620,560 billion. Of which, SCG's total assets in Southeast Asia (except Thailand) are VND 284,100 billion, accounting for 46% of SCG's total consolidated assets.
(Theo nhip song thi truong)