A year of overcoming difficulties
In 2024, the oil refining industry will face great difficulties as crude oil prices fluctuate and profit margins narrow, causing global financial pressure. Many factories will have to restructure, suspend operations, or risk bankruptcy. In Vietnam, Nghi Son and Dung Quat will also be affected, with revenue and profit in the third quarter of 2024 falling sharply.
In this context, BSR thoroughly applies solutions according to the motto of the Vietnam Oil and Gas Group: "Managing fluctuations, renewing old motivations, and adding new motivations". Thanks to that, BSR proactively responds, striving to complete the production and business targets for 2024 and the 5-year plan for 2021-2025.
BSR implements a strategy of managing fluctuations, focusing on flexible operations, optimizing resources, saving costs, forecasting the market and adjusting production plans accordingly.
Regarding crude oil, BSR searches for and processes new types of oil, especially imported oil, to increase flexibility and take advantage of market opportunities with reasonable purchase timing.
The company has developed 14 new products, including 6 types of PP resins and 8 types of fuels, including 3 defense fuels, 1 marine fuel and 4 petrochemical raw materials, contributing to increasing market share and business efficiency.
In addition, the company continues to seek opportunities to import components for processing to increase economic efficiency. At the same time, it is testing and putting into use new types of catalysts and additives to increase competitiveness and optimize production.
BSR optimizes product structure, increases ADO, Jet-A1, PP output and Mogas 95/Mogas 92 ratio from 40%/60% to 74%/26%, aiming to expand Mogas 95 market share. Maintenance work is organized effectively, ensuring the factory operates safely and stably.
In 2024, BSR will complete the 5th general maintenance of Dung Quat Oil Refinery, helping the plant maintain stable operations and increase capacity to 118% at some points.
In 2024, BSR implemented 217 innovative solutions, earning 340 million USD (8.2 trillion VND). The enterprise produced and sold over 40,000 m³ of special fuel, reaching the planned output milestone 43 days early. It is expected that for the whole year, BSR will produce 6.6 million tons of products, exceeding the plan by 15%, with revenue of 124.7 trillion VND, contributing over 13 trillion VND to the budget.
BSR is stepping up investment in projects such as upgrading Dung Quat Oil Refinery, building crude oil tanks, expanding tank truck loading stations and conducting research at Long Son petrochemical complex, creating a premise for sustainable development.
Entering 2025, BSR aims to produce 6.68 million tons of products, with revenue of over VND 114 trillion, budget payment of over VND 13 trillion, after-tax profit of over VND 750 billion, aiming for green development and global integration.
To complete production and business targets, BSR's Board of Directors and employees focus on operating the Factory safely, stably, and continuously; ensuring security, environment, and fire and explosion prevention. At the same time, the company optimizes the structure of products, energy, catalysts, and additives.
BSR will be flexible in purchasing crude oil, developing appropriate strategies, and researching and testing new raw materials to expand its crude oil and intermediate material basket. The company closely monitors market developments, forecasts oil prices, supply and demand to develop and update effective production and business management scenarios.
At the same time, BSR promotes digital transformation, integrates the ERP system with the Group, ensuring smooth operations. The company focuses on researching and optimizing product structure to suit crude oil characteristics, market demand and processing efficiency; manages material consumption, energy, losses and costs to improve production and business efficiency.
In addition, BSR prioritizes resources for the Dung Quat Oil Refinery Upgrading and Expansion Project and other investment projects, ensuring progress, quality and efficiency.
BSR deploys solutions to control risks, reduce maintenance costs, optimize plant operations, and develop petrochemical products and clean fuels from domestic raw materials.
In management, BSR expands into trading crude oil, petrochemical products and providing operations, maintenance, project management, QA/QC, and training services. The company updates its management and risk management systems in line with its development strategy, while promoting digital transformation towards a smart and efficient production model.
These orientations lay the foundation for BSR to continue to pioneer in ensuring energy security, contributing to the State budget, and promoting socio-economic development in Quang Ngai and the Central Highlands.
