VietNamNet Bridge – It’s clear that Vietnam would stop the manufacturing and circulation of A83 non-lead petrol in the market, sooner or later. However, the hesitancy of the state management agencies about the moments to implement the decision has made manufacturers suffer.

PV Oil has been well known as the biggest A83 petrol manufacturer in Vietnam. In 2012, PV Oil registered the sale of 293,000 cubic meters of A83 petrol it churned out.

In 2013, the oil manufacturer plans to sell 150,000 cubic meters of A83 petrol in the domestic market. If the plan is implemented, PV Oil would be the only manufacturer who still has A83 petrol on sale in the market, while other manufacturers have decided to quit the market.

Nguyen Xuan Son, General Director of PV Oil, affirmed on Dau tu that PV Oil would respect the decision to stop making A83 petrol as soon as the government requests.

PV Oil has been making hectic preparations for the new development period when it does not make A83 petrol any more. It now moves ahead with the plan to upgrade the quality of the products of the existing 250,000 ton per annum condensate factory in Phu My of Ba Ria – Vung Tau province to make A92 petrol. The work is expected to get completed by 2015.

However, oil and gas experts have noted that PV Oil is facing big difficulties in upgrading the condensate factory.

The Cat Lai condensate factory uses the associated gas provided by PetroVietnam, of which PV Oil is a member. With the existing elements in condensate, it is not costly to mix some more elements to make A83 petrol. Meanwhile, it would be more complicated and costly to make A92 petrol from the condensate, because it would be necessary to put some kinds of additives to increase the octane index.

With the additive proportion of 50/50, the output product to be made out by PV Oil would be more expensive that the current A92 petrol price. This means that it is unfeasible to make A92 petrol from condensate PV Oil has.

This is the main reason which explains why the project of PV Oil to make A92 petrol has not gone far over the last long period.

Son, when answering the question by Dau tu if PV Oil will upgrade the existing A82 petrol factory to make A92 petrol, said that if the government stops A83 petrol production, PV Oil would not follow that way and would stop making A83.

In fact, the state management agencies began thinking of stopping A83 petrol production in mid-2012 already. At that time, Dang Vinh Sang, General Director of Saigon Petro, affirmed that if this comes true, this would in no way affect Saigon Petro’s business.

In fact, though the government has not made the final decision to eliminate A83 petrol from circulation yet, Saigon Petrol has unilaterally weeded out A83 from the list of petroleum products it would trade in 2013. Meanwhile, in 2012, it registered the sale of 50,000 cubic meters of A83 petrol only.

The government has assigned the Ministry of Industry and Trade to consider the situation and make decision on a reasonable roadmap for A83 petrol manufacturers and trades to stop the petrol trade completely. This means that the ball now is at the Ministry of Industry and Trade.

Vo Van Quyen, Director of the Domestic Market Management Department of the ministry, said the department is still discussing the issue before a final decision is made.

Compiled by C. V