Lilama 10 (L10) Ships 6,000 Tonnes to UAE for $1.7B TA'ZIZ Methanol

Overview

Lilama 10 (ticker L10, HOSE) has completed and shipped more than 6,000 tonnes of industrial modules to the UAE for the TA’ZIZ Methanol project, a $1.7 billion EPC scheme in Abu Dhabi. The milestone coincides with a sharp earnings beat: nine-month 2026 pre-tax profit of VND 188.5 billion already exceeds the company’s full-year plan by more than 528%. The news matters because it confirms L10’s positioning in Middle East module fabrication, a higher-margin export niche than domestic installation work.

Key Facts

• More than 6,000 tonnes of modules completed and handed over in the first shipment batch, with the sixth and final module of the batch departing Quảng Ngãi port on 3 November 2026.
• TA’ZIZ Methanol carries an EPC contract value of approximately $1.7 billion, with Samsung E&A as EPC contractor.
• The plant is designed for 1.8 million tonnes of methanol per year at Al Ruwais industrial zone, Abu Dhabi, developed by the TA’ZIZ joint venture of ADNOC and ADQ in partnership with Proman.
• L10’s scope covers fabrication and installation of structures, electrical systems and piping on the modules, followed by trial assembly, disassembly, packing and sea freight.
• Q3 2026 revenue was nearly VND 405 billion, down about 3.6% year on year, while pre-tax profit reached VND 138.4 billion and after-tax profit VND 110.7 billion, both up nearly ninefold.
• Nine-month revenue reached VND 1,212 billion, up almost 5%, with pre-tax profit of VND 188.5 billion and after-tax profit of VND 150.8 billion, more than six times the 2025 comparative.
• The 2026 plan targets VND 1,000 billion revenue and VND 30 billion pre-tax profit; the company has exceeded the revenue target by roughly 21% and the profit target by over 528% in nine months.
• Charter capital stands at VND 98.9 billion; L10 has traded on HOSE since December 2007.

What Happened

According to the company’s project update, the final module of the first TA’ZIZ batch left Quảng Ngãi port on 3 November 2026, completing a tranche of more than 6,000 tonnes. Lilama 10’s scope at the Abu Dhabi site covers structural steel, electrical and piping work on the modules, which are trial-assembled and tested in Vietnam before being broken down, packed and shipped by sea. The company has not disclosed the contract value it directly holds within the project; Samsung E&A’s overall EPC package is valued at about $1.7 billion.

The TA’ZIZ Methanol plant is the first large-scale methanol facility in the UAE, designed for 1.8 million tonnes per year using natural gas feedstock and targeting grid-supplied clean power. It sits within the TA’ZIZ venture between ADNOC and ADQ, working with Proman. The UAE work extends a run of international references for L10, following module fabrication for the West Coast green hydrogen project in California and the NEOM Green Hydrogen project in Saudi Arabia. The company traces its origins to the Hà Nội Machine Installation Enterprise, established in December 1960.

Market Context

L10 closed at VND 37,400 on 8 November 2026 on HOSE. The stock sits in the construction and industrial engineering segment, which has lagged the broader Vietnamese index recovery as domestic public investment disbursement remains uneven. L10’s export module business differentiates it from domestic-focused contractors: revenue is roughly flat, but margin expansion from Middle East fabrication work has driven the profit surge. Liquidity in L10 is typically thin given the modest VND 98.9 billion charter capital, so price moves can be sharp relative to news flow.

Strategic Significance

The investment case rests on whether L10 can convert one-off module batches into a recurring export order book. Middle East energy capex, particularly in the UAE and Saudi Arabia, is running at multi-year highs as ADNOC and its peers diversify into methanol, hydrogen and derivatives. Vietnamese fabricators with proven trial-assembly and sea-freight capability are a small pool, and L10’s prior NEOM and California references give it credibility that domestic peers lack. The risk is concentration: the profit beat is tied to a small number of large contracts, and the company has not disclosed the margin embedded in the TA’ZIZ scope, making the sustainability of the 2026 earnings base difficult to underwrite.

What to Watch

• Disclosure of the direct contract value and margin on the TA’ZIZ scope, which the current update does not provide.
• Timing and volume of the second TA’ZIZ module batch, and whether further batches are scheduled into 2027.
• Q4 2026 and full-year 2026 results, to test whether the nine-month profit level holds without one-off gains.
• New contract awards in the Middle East or Saudi NEOM pipeline that would extend the export backlog.
• Foreign-ownership and major-shareholder filings on HOSE, given the thin free float.