Logo of Phnom Penh Post newspaper Phnom Penh Post - Planning delays oil refinery’s progress

Planning delays oil refinery’s progress

Planning delays oil refinery’s progress

Construction on Cambodia’s $2.3 billion oil refinery has been set back again, this time due to planning delays, the project’s local partner, Cambodia Petrochemical Company (CPC), confirmed yesterday.

The landmark oil refinery was slated to begin construction in December 2013 following a $1.67 billion loan from the Export-Import Bank of China (Exim Bank), but Hann Khieng, CPC co-owner, said yesterday that more detailed planning was required before the project could begin.

“I believe we will be able to start groundbreaking soon, maybe in mid-November this year since the weather in the next few months will make it difficult for construction to start,” he said.

The plant, which will be built on 80 hectares between Preah Sihanouk and Kampot, is now expected to be finished in late 2016.

Khieng said the company will import crude oil from the Middle East, which will then be processed at the plant. He expects the plant to produce five million tonnes of oil per year for both domestic and off-shore markets.

Cambodia imports more than a million tonnes of oil a year from abroad to supply local demand.

Kim Natacha, executive director of Cambodia for Resource Revenue Transparency said the plant would help prepare Cambodia for its future plans for offshore oil extraction but warned that its environmental impact would need to be fully understood.

“An environmental impact evaluation should be done thoroughly for the oil refinery construction plan to ensure it doesn’t negatively impact the community area near the plant,” she said.

MOST VIEWED

  • New US bill ‘is a violation of Cambodian independence’

    After a US congressmen introduced bipartisan legislation that will enact sanctions on Cambodian officials responsible for “undermining democracy” in the Kingdom, government officials and the ruling Cambodian People’s Party on Sunday said they regarded the potential action as the “violation of independence and sovereignty

  • Angkor Wat named as the top landmark for the second year

    Travel website TripAdvisor has named Cambodia’s ancient wonder Angkor Wat as the top landmark in the world for the second year running in their Travelers’ Choice Award 2018, an achievement Cambodian tourism operators expect will attract more tourists to the Kingdom. The website uses traveller

  • Ministry’s plan for net sparks fears

    The government has ordered all domestic and international internet traffic in the Kingdom to pass through a Data Management Centre (DMC) that has been newly created by the state-owned Telecom Cambodia, in a move some have claimed is an attempt to censor government critics. Spokesman

  • Hun Sen detractors ‘will die’

    Prime Minister Hun Sen on Wednesday said those who curse or insult him would eventually die without a plot of land to bury their bodies after being killed by lightning, suffering the same fate as those who recently died in Thmar Baing district in Koh