hu My Plastics and Chemicals Company Ltd (PMPC), a joint venture between Petroliam Nasional Berhad (PETRONAS), PetroVietnam and Tramatsuco, has signed an agreement with Maybank Hanoi and Bank for Investment and Development of Vietnam (BIDV) Hanoi for a US$35 million credit facility. The loan will be used to part finance the capital expenditure for the company’s polyvinyl chloride (PVC) plant.
PETRONAS holds a 50 percent equity in the joint venture while its Vietnamese counterpart PetroVietnam has a 43 percent stake. Tramatsuco, the trading arm of the People’s Committee of Baria-Vung Tau, owns the remaining seven percent equity.
The PVC plant, which will have an annual production capacity of 100,000 tonnes, will be strategically located within the identified petrochemical development zone in Phu My Industrial Area in Baria-Vung Tau Province, some 85 km south-east of Ho Chi Minh City.
The plant is currently in its initial stages of construction and is expected to be completed by the third quarter of next year. Once operational, this crucial import substitution project will help contribute to the development of the province in particular and to the economic growth of Vietnam in general. The plant is expected to source its feedstock, vinyl chloride monomer (VCM), from PETRONAS’ joint venture VCM plant in Kertih, Terengganu.
At the loan agreement signing ceremony held in Ho Chi Minh City last Friday, PMPC was represented by its General Director Encik Kalantar Mastan Mohamed, Maybank Hanoi by its General Manager Mr Chan Kin Choy and BIDV Hanoi by Mr Le Dao Nguyen, its Deputy General Director and Director of Transaction Office. The ceremony was witnessed by PMPC’s First Deputy General Director Mr Le Cong Thanh.
Legal & Corporate Affairs Division