Kuwait Petroleum International (KPI) and Japan-based refiner Idemitsu Kosan are planning a joint venture company to sell petroleum products in Vietnam, a report said.

"KPI and Idemitsu intend to promote retail and wholesale operations, mainly through the construction and management of service stations across Vietnam," Idemitsu was quoted as saying by Wam, the Emirates News Agency.

The joint venture, called Idemitsu Q8 Petroleum LLC, will be the first wholly foreign-owned firm in the oil product distribution and retail sectors in Vietnam, the report said.

"Through the establishment of a petroleum product distribution company, KPI and Idemitsu will achieve a stable supply of products to the growing Vietnamese market, where demand for petroleum products is expected to follow a steady upward trend, thereby contributing to the social and economic development of Vietnam," said Idemitsu.

KPI's parent company Kuwait Petroleum Corporation (KPC) will supply all the feedstock for the facility, which will also include petrochemical units, energy facilities, a pipeline and storage systems, along with an information management system, according to the Wam report.