British Petroleum Co. plc in a joint venture with Vietnamese oil marketer Petrolimex plans a $28 million worldscale lubricants complex in Viet Nam, says OPEC News Agency (Opecna).
The venture marks BP's entry in Viet Nam's downstream industry. The company, which seeks to expand its presence in Southeast Asia, also is bidding to develop Dai Hung oil field off Viet Nam.
Plans call for the BP Petco joint venture to install the complex at Nha Be near Ho Chi Minh City in southern Viet Nam, Opecna reported.
It would be designed to allow doubling of initial capacity of 50,000 metric tons/year of lubricants and grease.
Construction is expected to take 2 years. BP will take a 65% interest in the venture.
BP Petco will market a range of lubricants nationwide in Viet Nam and is expected to win a big share of the domestic market, currently estimated at 70,000 metric tons/year, Opecna said.
Opecna quoted industry officials as saying BP had missed out on other refinery projects in Southeast Asia and thus is considering every downstream option in the region.
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