HÀ NỘI — Amid declining crude oil prices, which have improved operational efficiency, Thailand’s SCG Group plans to restart the Long Sơn Petrochemical (LSP) complex in Việt Nam at the end of this month.

The group has just announced its business results for the second quarter and the first half of this year.

In Việt Nam, it recorded sales revenue of VNĐ16.6 trillion (equivalent to US$632 million) in the first six months of the year, down 1 per cent compared to the same period last year.

This indicates that the group’s operations have remained relatively stable despite volatile market conditions.

The plan reflects the group’s proactive approach to maintaining long-term operations and ensuring readiness to face market challenges. 

Việt Nam’s first fully integrated petrochemical complex, the LSP project, officially began commercial operations on September 30 last year, producing 74,000 tonnes of plastic resin during its trial run.

However, SCG announced the suspension of commercial operations at the complex at the end of last year to manage overall business costs, with plans to restart when market conditions become more favourable.

The decision was made amid a global petrochemical industry downturn, characterised by oversupply and weakening demand for petrochemical products.

In addition, the group launched an investment project to upgrade production processes at LSP, aiming to strengthen long-term competitiveness by enhancing operational flexibility.

At the time of the suspension decision, SCG stated that the complex would receive a $700 million investment, primarily for the construction of ethane gas storage tanks and related infrastructure, scheduled for completion by the end of 2027.

Once fully operational, LSP will produce olefins and polyolefins to meet the growing demand of Việt Nam’s consumer goods industry. — VNS