South Korean conglomerate SK Group wants Vietnam clean energy project

Talking with Prime Minister Pham Minh Chinh in Australia on Friday after he attended the ASEAN Australia SpecialSummit 2024, SK leaders introduced their green hydrogen projects in the country, as well as some South Korean projects in Timor Leste.

They said that the use of natural gas in producing hydrogen allows carbon dioxide to be kept permanently in exhausted mines. The hydrogen output there is considered clean energy.

SK Group, one of the largest corporations in South Korea and a stakeholder in several Vietnamese companies, thus wants to produce this kind of energy in Vietnam.

PM Chinh said he appreciated the proposal and asked SK to collaborate with the Ministry of Planning and Investment and other government bodies to deploy the project. He also suggested SK to form a strategic partnership with state-owned oil giant Petrovietnam.

Prime Minister Pham Minh Chinh (third from R) meets with representatives of SunRice in Australia on March 8, 2024. Photo by Nhat Bac

Chinh also met with Paul Serra, CEO of Australia's largest rice producer and distributor SunRice Group, on Friday.

He said he wanted the group to invest more in Vietnam and partner with local businesses to improve the supply chain. He suggested the firm work directly with farmers to ensure supply.

The PM also said he wanted SunRice to build storage units in Vietnam and help the country produce Halal food for Muslims.

Chinh asked SunRice to speak directly with the Ministry of Agriculture and Rural Development to look for partners and develop projects as part of the "1-Million Hectares of High Quality Rice" campaign in the Mekong Delta.

He also suggested SunRice research the development of other agricultural products and seafood in Vietnam.
SunRice, established in 1950, accounts for 90% of Australia’s market share. It has 30 brands and over 2,000 employees in 50 countries. It posted a revenue of $1.64 billion last year.

In 2008 the group bought the majority shares in Lap Vo rice manufacturing factory in the Mekong Delta province of Dong Thap, which can produce 260,000 tons annually.

Since 2022 it has been partnering with a research center in Australia to develop high quality rice in the Mekong Delta region.

Prime Minister Pham Minh Chinh meets with Oliver Kleinhempel, chairman of EQ Resources in Australia on March 8, 2024. Photo by Nhat Bac

Chinh also met with leaders of two companies in the minerals industry, Ian Jeffrey Gandel, Chairman of ASM Group and Mr. Oliver Kleinhempel, Chairman of EQ Resources Group.

The two said they were looking for opportunities to develop mineral projects in Vietnam.

Chinh said that developing the mineral industry is a strategic task, requiring resources and modern technology. Mineral projects need to be implemented in the direction of high technology, deep mining and processing, not selling raw ore but enhancing the value of minerals, bringing Vietnamese businesses deeper into the global supply chain, and environmental protection.

"The government is committed to creating favorable conditions for foreign businesses to invest and do business effectively and sustainably in Vietnam," he said.