SCG becomes largest shareholder in Vietnam project

According to media reports, Siam Cement Group (SCG) has decided to raise its stake in Vietnam petrochemical project by acquiring the 25% of the previous shareholder Qatar Petroleum’s stake, which later withdrew in 2015 due to drop in its revenue in line with the decline in oil prices.

Along with this acquisition, SCG’s shares increased to 71% from 46% and the company has become the biggest shareholder of the project, the remaining 29% of which belongs to the Vietnamese parties.

The planned project in Vietnam includes a 1.1 million tons/year of ethylene cracker, which will increase olefin capacity to 1.6 million tons/year. It also aims to develop non-petrochemical supporting infrastructure such as deep-sea ports and other facilities, which will worth 30% of the total investment costs.

The operations at the complex are expected to start in 2021.