BSR accelerates strategic breakthroughs for green and sustainable development

BSR Party Committee, 2025 - 2030 Term: Pioneering Innovation, Transforming the Business Model, Advancing into a New Era

BSR accelerates ESG implementation toward sustainable development

Strengthening Operations through Scientific Research, Innovation and Digital Transformation

Reporting to the Petrovietnam delegation, Mr. Bui Ngoc Duong – Chairman of the BSR Board of Directors – stated that BSR had fulfilled all the 2025 production and business targets set by its General Meeting of Shareholders in the first half of the year. The company is now rigorously implementing solutions to fully meet the annual KPIs.

Overview of the working session between Petrovietnam and BSR on 2025 business performance and strategic development for the 2026 - 2030 period.

BSR has intensified efforts in scientific research, innovation, and digital transformation. The company has completed the establishment of its Innovation Center and optimized the operation of individual processing units. Notably, the Crude Distillation Unit (CDU) capacity was increased from 114% to 118%, with technical assessments completed to further raise it to 120%. Meanwhile, the Residue Fluid Catalytic Cracking (RFCC) unit is being studied to explore operational potential at 110% capacity. Capacity enhancements are also being pursued across other units to boost output and operational efficiency at Dung Quat Refinery.

BSR has expanded its crude feedstock sources to lower costs and mitigate supply chain risks; diversified its product portfolio; and actively pursued new product and technology development. Energy efficiency, the use of advanced catalysts and additives to reduce emissions and operational costs, and circular production practices, including increased recycling and emission reduction, have also been prioritized.

Mr. Bui Ngoc Duong – BSR Chairman of the BSR Board of Directors – presents the five-year development strategy for 2026 - 2030.

For the 2026 - 2030 period, BSR aims to optimize raw material input and reduce feedstock costs by at least 1% compared to the baseline. The company is targeting a 10% revenue contribution from scientific research, innovation and digital transformation, with the return on investment from these areas projected to double the capital spent. The product portfolio will be aligned with Net Zero and energy transition trends to maximize value chains. BSR is also determined to elevate its innovation capability and digital maturity to Level 5 - demonstrating leadership and high effectiveness.

Mr. Nguyen Viet Thang – President & CEO of BSR – reported to the working delegation on the company’s recent production and business performance.

At the session, Mr. Nguyen Viet Thang – BSR President & CEO – reported that in the first half of 2025, the company produced over 3.84 million tons of petroleum products (16% above target) and sold more than 3.8 million tons. Revenue reached over VND 69.45 trillion (22% above target), with contributions to the State budget exceeding VND 7.41 trillion (15% above target). Post-tax profit also surpassed projections.

To fulfill the 2025 plan, BSR will implement key measures including: optimizing operations and boosting plant performance; diversifying and upgrading product quality; expanding markets and improving competitiveness; accelerating investment, digital transformation, and scientific-technological application; promoting circular and green economy practices; executing the Dung Quat Refinery Upgrade and Expansion Project decisively; enhancing financial and cost management; focusing on developing high-quality human resources; and ensuring workplace safety, environmental protection, and sustainable community development.

Mr. Le Xuan Huyen – Petrovietnam Vice President – emphasized the paramount importance of absolute safety at Dung Quat Refinery. He urged BSR to further optimize plant performance and exploit capacity potential. Regarding the 2026 - 2030 plan, he advised careful analysis of production and business targets, ensuring BSR's sustainable growth. He also recommended the company focus on cleaner, greener operations aligned with global and national energy transition trends, and continue fostering collaboration within the Petrovietnam value chain.

Mr. Le Xuan Huyen – Petrovietnam Vice President – stresses the importance of safe and stable operations while exploring potential capacity enhancements.

Mr. Pham Tuan Anh – Member of the Board of Members of Petrovietnam – commended BSR's achievements in the first half of 2025, highlighting its effective response to market fluctuations and tangible results from R&D efforts. He noted the growing intensity of competition and the accelerating energy transition, calling on BSR to implement bold, strategic initiatives to strengthen its global supply chain role and accelerate innovation and technological integration in production and business activities.

Mr. Pham Tuan Anh – Member of the Board of Members of Petrovietnam – recommended that BSR develop strategic and breakthrough solutions for its operations during the 2026–2030 period.

Advancing Energy Transition and Enhancing Value Chains

Looking ahead to 2030, BSR has set goals to acquire advanced technologies in line with global energy transition trends and enhance its regional competitiveness. The company aims to be a core contributor to the formation of a National Refining and Energy Center in Quang Ngai and a key investor in the Long Son Refining and Petrochemical Complex. BSR also seeks to safeguard national energy security and contribute to the sustainable development of Petrovietnam, Quang Ngai Province, and Vietnam, in alignment with the country's COP26 commitments. The company maintains a strong commitment to environmental and social responsibility.

By 2050, BSR will ramp up investments in petrochemical and chemical sectors to raise product value, and develop new fuels, raw materials, and green products for domestic industrial demand. It will also focus on sustainable, low-carbon fuels; renewable energy production and applications including green hydrogen and ammonia; and value-added carbon capture solutions. Should pilot-stage green hydrogen production prove successful and viable, BSR will invest in a commercial-scale plant.

Mr. Bui Minh Tien – Member of the Board of Members of Petrovietnam – recommends that BSR align investment strategies with the ongoing energy transition.

At the session, Mr. Bui Minh Tien suggested BSR intensify its market research and investment planning in line with the energy transition to better anticipate supply-demand dynamics and product structure across development stages. He also encouraged swift, strategic investment decisions that align with future trends.

In his concluding remarks, Mr. Le Manh Hung recognized BSR's achievements in Scientific Research, Innovation, and Digital Transformation, noting the company’s many prestigious awards within and beyond the Group. He praised the leadership team’s unity and enthusiasm, fostering collective commitment across BSR.

He stressed that BSR must clearly define its vision, mission, and objectives for the coming phases, ensuring competitive strength in both domestic and international markets. Drawing on lessons from the 2020 - 2025 period, BSR should accelerate transformation and foster revolutionary changes, particularly in R&D and technology application, to create new green and clean products.

Petrovietnam Chairman Le Manh Hung requested that BSR propose solutions related to business models, sustainable efficiency, science and technology, and energy transition to drive breakthrough development in alignment with evolving trends during the 2026–2030 period.

Petrovietnam Chairman Le Manh Hung also emphasized the need for BSR to focus on and develop strategic solutions for its next development phases. First, BSR must strengthen risk management to ensure long-term sustainability. Second, the company should enhance operational efficiency, accelerate investment, and expand production scale. Third, it needs to address technological and product-related limitations. Lastly, the Chairman urged BSR to thoroughly study its development strategy in the context of the accelerating energy transition. In parallel, BSR should improve its management of capital, assets, and cash flow, while fostering integration with other units to enhance overall production efficiency in the coming phases.

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