Vietnam’s first bonded petroleum depot construction started in the Van Phong Economic Zone in Ninh Hoa district of southcentral Khanh Hoa province on December 9.

The project has a total investment capital of US$170 million, which has been contributed by the Vietnam National Petroleum Corporation (55 percent), Petrolimex Insurance Joint Stock Company (15 percent) and Singapore’s PB Tankers Ltd (30 percent).

Director of the Van Phong bonded petrol depot Nguyen Van Que said the project has two phases, with the first phase costing US$100 million.

The depot will be capable of storing 500,000 cu. Of petroleum at the end of the first phase, which will double in the second phase, Que said.