LG & Petrovietnam plan $200mn polypropelene unit in Vietnam
23 Jun '06
1 min read
LG International Corp, a South Korean petrochemicals company plans to set up a 330 M lbs/y polypropylene unit in partnership with Vietnam based Vietnam Oil and Gas Corp (Petrovietnam).
The $200 million plant will be located in Dung Quat economic zone near Quang Ngai to cater to unsatisfied demand, stated a senior official of LG.
LG is in talks with Petrovietnam but is likely to finalize matters pertaining to the project within 6 months.
At present, Vietnam has 815 million pounds/year resins capacity (primarily polyvinyl chloride and polyethylene terephthalate), but by 2009, the country intends to enhance production to 4.2 billion pounds/year (including 1.5 bn lbs/y polyethylene and 470,000 tons/year polypropylene) thanks to investments of $1.5 billion. LG already manufactures dioctyl phthalate in Vietnam.
If the polypropylene unit goes ahead, it will probably obtain its propylene feedstock from the oil refinery which is due to open in Dung Quat in 2009.
marketing@alchempro.com
