Illustrative image (Source: internet)_HCM City (VNS/VNA) - SCG hassigned loan agreements worth over 3.2 billion USD with six banks in its homecountry, Thailand, to fund the construction of Vietnam’s first fully integratedpetrochemical complex, Long Son Petrochemicals Company Limited (LSP).
Construction will begin in the thirdquarter of this year and the complex’s commercial operations are expected tostart in the first half of 2023 to meet Vietnam’s soaring demand, now at 2.3million tonnes a year and projected to expand consistently thanks to thecountry’s strong economic growth.
Roongrote Rangsiyopash, president and CEOof SCG, said: “Long Son Petrochemicals is a world-scale petrochemical complexwith an investment of 5.4 billion USD. It is SCG’s flagship investment.
“This venture will improve the competitiveadvantages of SCG’s chemicals business in Southeast Asia.
“Furthermore, the project is equipped withworld-class technologies which allow for high flexibility to utilise rawmaterials resulting in increased competitive advantage.”
The US dollar loan deals are with SumitomoMitsui Banking Corporation, Mizuho Bank, Bangkok Bank, Krungthai Bank, SiamCommercial Bank, and the Export-Import Bank of Thailand.
The credit tenor is 14 years.
Sumitomo Mitsui Banking Corporation is theproject’s financial advisor.
LSP will come up in the southern provinceof Ba Ria – Vung Tau 100 kilometres from HCM City. It will have the capacity toproduce 1.6 million tonnes of olefins a year for manufacturing high densitypolyethylene, linear low density polyethylene and polypropylene.
SCG, one of the leading conglomerates inthe region, has three core businesses: cement-building materials, petrochemicals,and packaging.-VNA
VNA
