State-run PetroVietnam is in talks to sell a 49% stake in its Dung Quat oil refinery to three foreign companies, the refinery's director general said.
"We are trying to sell the stake as soon as possible, so that we will have funds for expanding the refinery," Nguyen Hoai Giang told Dow Jones Newswires Friday.
Mr. Giang said the parties involved haven't reached agreement on the issue he said is dominating negotiations: the refinery's value.
A person familiar with the situation said Friday that one of the three companies is state-owned Petróleos de Venezuela SA, the other two are from Japan and South Korea, and that it's likely all three will buy the stake jointly.
PetroVietnam, formally Vietnam Oil and Gas Group, has said it will use the money raised from selling the stake to expand the refinery's annual capacity to 10 million metric tons, or 200,000 barrels a day, from 6.5 million tons.
Dung Quat, the only refinery operating in Vietnam, It meets around one-third of the country's demand for oil products.
A feasibility study on the expansion will be completed by the end of this month, and the sale may take place after that, the person familiar with the situation said.
State media cited Mr. Giang as saying last month that the expansion of the refinery may cost between $1.5 billion and $2 billion, and will likely take five to six years.
Source: Dow Jones
|< Prev||Next >|
» The story behind the Dung Quat Oil Refinery
» Survey names students' most desired employers in Vietnam
» Dung Quat Oil Refinery not to close
Latest Category Posts
- Agriculture, aquatic, forestry exports exceed US$9 bln
- Newly-established businesses up nearly 10%
- Sharp rise in imports of Chinese machinery
- Push to grow macadamia industry in Vietnam
- Vietnam, EU speed up FTA negotiations
- India eyes $300mn garment-textile industrial park near Ho Chi Minh City
- Vietnamese exporters should limit antibiotic residues in seafood, find new markets: association
- Ba Na –Suoi Mo road opens to traffic in Da Nang
- Vietnam sells over 1,170 tonnes of fruits in Q1
- Nestle vows to promote Vietnamese coffee in international markets
Random Category Picks
- VN properties purchased by hotel firm Centara
- Vietnam Airlines sale of shares could reap VND6.3 trillion
- Opportunities have arrived for cement manufacturers
- Japan's Credit Saison to buy 49 pct stake in Vietnam firm
- Cambodian province seeks investment from Binh Phuoc to build bridge
- French expected to ratchet-up current investment
Popular Category Posts
- Japan wants to build underground trade center in Saigon subway station
- Vietnam banks on macadamia nuts
- Sudan’s businesses promote trade in HCM City
- Vietnam’s power prices to surge 7.5 percent this month
- Acronis to penetrate Vietnamese market
- Vietnam, ADB sign loans for reforms, Hanoi metro line
- Lotte buys controlling stake in Ho Chi Minh City’s Diamond Plaza: media
- Vietnamese-labelled goods made in China harming domestic production
- Why do foreign investors want to set up oil refineries in Vietnam?
- Tilapia offers untapped potential for exports
- Big foreign firms hit brick wall trying to take over Vietnamese supermarkets
- Bustling flower market on Women’s Day
- “Sharing economy” in Vietnam becomes more popular
- Vietnam consumers spend $2.97bn shopping online in 2014: report
- Inspectors say rules broken for Taiwan investor in central Vietnam, seek penalties
- Private giant Vingroup seeks approval to acquire major ports
- Chinese goods bearing fake made-in-Vietnam labels hurt local consumers, manufacturers
- Foreign investors frown on weak supporting industries
- Vietnam’s belt-tightening buyers add to shopping malls’ woes
- Will luxury shopping malls succeed in Vietnam?