Proposed Special Mechanism for Vietnam’s First Oil Refinery Upgrade Project

On the morning of September 23, the Standing Committee of the Quang Ngai Provincial Party Committee held a working session with Binh Son Refining and Petrochemical Joint Stock Company (BSR) to evaluate the company’s operations and address challenges in implementing the Dung Quat Oil Refinery Upgrade and Expansion Project. The meeting was attended by Party Secretary Bui Thi Quynh Van, along with leaders from the Provincial Party Committee, People’s Committee, People’s Council, National Assembly Delegation, and representatives from relevant departments.

During the session, Vice Chairman of the Provincial People’s Committee Tran Phuoc Hien stated that the province has closely collaborated with the Ministry of Industry and Trade to finalize the National Petrochemical and Energy Center Plan in the Dung Quat Economic Zone.

Additionally, the province has approved the detailed 1/500 scale planning for the Dung Quat Oil Refinery and its upgrade and expansion project, covering approximately 41 hectares. This approval provides a critical legal foundation for the project’s implementation.

According to BSR’s data, by Q3/2025, the company achieved a cumulative production volume of over 102.7 million tons, sold more than 102.3 million tons, generated revenue exceeding VND 1,800 trillion, and contributed over VND 244.9 trillion to the state budget. These figures not only underscore BSR’s role as a key economic driver but also highlight its commitment to social responsibility, with over VND 911 billion allocated to community welfare initiatives.

The Dung Quat Oil Refinery Upgrade and Expansion Project is a nationally significant endeavor, designated as a priority within the energy sector. The government aims to complete and commission the project by Q1/2028.

To ensure timely progress, BSR has requested provincial support in resolving issues related to material supply for land reclamation and accelerating the construction of key infrastructure. The company also seeks adjustments to land use planning, port infrastructure, and investment promotion efforts. Additionally, BSR urges the swift implementation of the 110 kV substation project, expeditious approval of the feasibility study report, and timely land clearance and compensation.

In her remarks, Party Secretary Bui Thi Quynh Van commended BSR’s achievements and contributions. She emphasized that BSR’s growth not only enhances the energy industry’s stature but also significantly boosts provincial revenue, fosters innovation, attracts investment, creates jobs, and strengthens social welfare.

To meet the project’s deadline, the Party Secretary directed the Provincial People’s Committee to coordinate with relevant agencies to promptly resolve outstanding issues, particularly in land use planning and material supply.

Furthermore, the province must work closely with central ministries to develop innovative policies and mechanisms that support the National Petrochemical and Energy Center in the Dung Quat Economic Zone, for submission to the Prime Minister for approval.