Vietnam Japan Gas Co., Ltd. a joint venture set-up by Taiyo Nippon Sanso Corporation and Tomoe Shokai Co., Ltd. has won a large-scale supply deal with China Steel Sumikin Vietnam Joint Stock Company (CSVC).
CSVC, located in Ba Ria-Vung Tau Province in Southern Vietnam, will receive nitrogen and hydrogen via the joint venture firm from December 2012. Gas will reach CSVC through a 6km underground gas pipeline leading from VJG’s new factory which is currently undergoing construction in Ba Ria-Vung Tau.
In addition to this investment, VJG is also constructing various liquefied gas production facilities elsewhere in Vietnam, from Ho Chi Minh City in Southern Vietnam to Hanoi in the North. As a result of such expansion, the joint venture firm expects to own a majority share, approximately 40%, of the production of liquefied gases in Vietnam during 2011.
In an official company statement, Taiyo Nippon Sanso Corporation, described its hopes for this agreement, “Looking ahead, we believe we can contribute to industrial development in Vietnam by ensuring a reliable supply of high quality gases through large scale contracts.”
Vietnam Japan Gas is equally owned by Taiyo Nippon Sanso Corporation and Tomoe Shokai Co., Ltd.