The spillover effect of THE OVER 5.1 BILLION USD PROJECT

Long Son Commun, 10 July 2024, Straight asphalt roads connecting villages are equipped with CCTV cameras, new spacious houses spring up; people’s lives in Long Son island commune, Vung Tau are also changing every day… Partly thanks to the cooperation and contribution of Long Son Petrochemicals Company Limited (LSP) – the investor of the Long Son Petrochemicals Complex project. The project has a total investment of more than 5.1 billion USD and is expected to go into commercial operation around mid-year.


Long Son commune (Vung Tau city) has changed substantially in recent years since the Long Son Petrochemicals Complex project was implemented.

According to Mr. Ha Huu Dung, the Secretary of Long Son Party Committee: “The appearance of Long Son that has changed the most is traffic. Village roads and alleys are asphalted and concreted to make it convenient for people to travel”. To ensure security and order in the area, in 2023, LSP sponsored the installation of 23 cameras on major roads. Thanks to that, the locality also promptly handled several traffic violations.

In addition to sponsoring the installation of CCTV on roads, LSP also arranged a variety of community-oriented activities during project implementation, including vocational training for Long Son residents; waste segregation at source training; tree planting to create a green, clean, and beautiful environment; collaboration with units that provide medical assessment and treatment to people. Notably, a women’s cooperative has just been established in the commune, specializing in weaving basket products, selling them to tourists, and creating gifts.

To assist people in stabilizing their lives, LSP has created a resettlement area in village 1 of Long Son commune, recruiting locals to work in jobs such as canteen sales, tree trimming, and security…

Mr. Kulachet Dharachandra – General Director of LSP, stated that by implementing the project in Long Son island commune, which includes waste segregation at the source and planting trees, LSP hopes to become a decent citizen of this area. LSP has fulfilled its commitments by engaging in a variety of community-service activities. “LSP is dedicated to being a responsible corporate citizen rather than simply generating a profit” – shared by Mr. Kulachet Dharachandra. The company not only seeks to support the local community, but also to learn and grow with them.


According to the plan, Long Son Petrochemical Complex will go into commercial operation around the middle of this year.

Regarding the factory’s operational progress, LSP’s Representative said that LSP received the final acceptance from the National Inspection Council for Construction Acceptance (NIC), in February 2024, and is currently conducting the test run for the full complex, including the Olefin upstream plant and three Polyolefin downstream plants (HDPE, LLDPE, and PP).

As of this moment, LSP is still one of the largest foreign investment (FDI) enterprises in Vietnam and the leading enterprise in FDI capital in Ba Ria – Vung Tau. This is also the first fully integrated chemical complex in Vietnam.

According to Mr. Kulachet Dharachandra, when fully operating, the petrochemical complex will produce 1.35 million tons of Olefins products/year, which are raw materials for Polyolefin (plastic resins) plants. The Polyolefin plants will create essential plastic resins at a capacity of 1.4 million tons per year. This complex is large-scale and quite complicated, applying computerized and digitized technologies in the production process. The complex currently employs almost 1,000 competent employees, which 80% are Vietnamese During the construction phase (2018-2023), the company contributed 140 million USD in taxes. When commercially operating in 2024, LSP will generate approximately 1.5 billion USD in revenue, contributing 150 million USD in VAT annually. More importantly, when operating, this integrated petrochemical complex will have a significant impact on the development of the petrochemical industry, downstream industries, and other service industries of Ba Ria – Vung Tau province and the Southern Key Economic Zone.

Article and photos: HA AN

Translation from the article published in special edition 30 April 2024 in BRVT Newspaper