In September, the Nghi Son oil refinery offered its first gasoline export cargo after receiving approval from the government to start exporting fuel products.

"We are seeking permission from the Ministry of Industry and Trade to export 30,000 metric tonnes of jet fuel in December," said the source, who was not authorised to speak to the media and declined to be named.

"Exporting the products will enable us to have sufficient conditions to sell the product in the domestic market after that," he added.

Nghi Son Refinery and Petrochemical LLC, owner of the 200,000 barrel-per-day (bpd) refinery in northern Vietnam, in August asked for government approval to export oil products.

"When fully operational, Nghi Son refinery will produce 600,000 tonnes of jet fuel a year, all of which will be sold via PetroVietnam and is aimed at the local market," according to the source.

"The refinery is still being test run and we will soon officially start commercial production."

Nghi Son is located 260 km (160 miles) south of Hanoi.

The $9 billion refinery is 35.1 percent owned by Japan's Idemitsu Kosan Co, 35.1 percent by Kuwait Petroleum, 25.1 percent by PetroVietnam and 4.7 percent by Mitsui Chemicals Inc.

(Reporting by Khanh Vu in HANOI and Koustav Samanta in SINGAPORE; Editing by Adrian Croft)