By ZHOUDONG SHANGGUAN
BEIJING -- Cambodian Petrochemical Company and Sinomach China Perfect Machinery Industry Corp. will jointly develop Cambodia's first oil refinery costing an estimated $2.3 billion, Xinhua News Agency reported Friday.
The oil refinery will be located on an 80-hectare area within a boundary of Preah Sihanouk province and Kampot province, Xinhua reported, citing Zhang Sugang, president of Sinomach China Perfect Machinery Industry Corp.
Sinomach China Perfect Machinery, a state-owned firm with diverse businesses ranging from oil engineering to property, will carry out construction of the refinery, Xinhua said.
Construction is expected to complete by end-2015, Xinhua said, without mentioning a start date.
Upon completion, the plant will have the capacity to refine 5 million tpy of oil products, equivalent to about 100,000 bpd, Mr. Zhang said.
Cambodia's oil demand is forecast to rise to 3 million-4 million tpy eventually, up from 1 million currently, in tandem with rising economic growth. That's according to Sok An, the chairman of Cambodian National Petroleum Authority. He is also the country's deputy prime minister.
Dow Jones Newswires