Nay Pyi Taw, June 7, 2025- Myanmar's Ministry of Energy is aiming to begin operations of a new oil refinery capable of processing 500,000 tons of crude oil annually by the end of this year, according to Union Minister U Ko Ko Lwin.
During his visit to the No. (1) Thanlyin Refinery on June 6, the Minister stated that the plant will be relaunched with a modernized structure under a modular refinery model. Phase 1 of the project targets an annual refining capacity of 500,000 tons of crude oil, while Phase 2 will scale up operations to a capacity of 3 million tons per year.
The refinery, currently under construction, is expected to begin production by the end of 2025. The ministry also announced plans to complete a second, larger refinery with a 3-million-ton annual capacity by 2028.
In addition, the Magway Region-based Than Payar Kan Petrochemical Complex is undergoing an upgrade to enable the production of higher-grade fuel oils.
"Once the projects are completed, Myanmar will be able to fully meet its domestic fuel demand, reduce reliance on foreign currency, and overcome past fuel shortages. This will also support an increase in national productivity," Minister U Ko Ko Lwin stated.
The fuels produced by the new refinery are expected to meet Euro 4 standards. For gasoline, the minimum octane number will be 92, according to information from the Ministry of Energy.
During the site inspection, the Minister reviewed ongoing work including pile foundation activities at the refinery construction site, installation of the Thanlyin natural gas regulating and distribution station, and planning for pipeline routes to transport crude oil and petroleum products. He also inspected the horizontal directional drilling (HDD) work under the Bago River for the gas pipeline between South Dagon and Thanlyin.
Myanmar has long relied heavily on fuel imports, causing vulnerability in fuel access. This project is part of the government’s strategic energy security plan to produce fuel domestically and reduce dependency on foreign supply.
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