Vietnam refiner raises production to 112% of capacity to ease supply crunch

HANOI, Nov 7 (Reuters): Vietnam's Binh Son refinery, which accounts for about a third of national output, has further ramped up its production, according to its owner, as the country seeks to avert a fuel supply crunch.

The 130,000-barrel-per-day refinery is now operating at 112% of its designed capacity, up from 109% before, aimed at easing pressure on the local fuel supply, Binh Son Refining and Petrochemical said in a statement at the weekend.

Vietnam has two refineries, with combined capacity of 330,000 barrels per day, which meets 70% to 80% of its fuel needs. Authorities have been asking those to boost production.

Industry and Trade Minister Nguyen Hong Dien on Saturday said Vietnam would continue to face difficulties securing refined petroleum products, after hundreds of petrol stations in its largest cities shut or limited sales in recent weeks, citing financial difficulties and tight supplies.

Prime Minster Pham Minh Chinh on Saturday said authorities had responded slowly to the fuel supply crunch and Vietnam would consider raising the national fuel storage capacity and domestic fuel production to avoid future fuel shortages.

The country's refined fuel imports in the first 10 months of 2022 rose 22.8% from a year earlier to 7.13 million tonnes, but costs rose 123.8% to $7.37 billion, according to official data. - Reuters