Gazprom, Petrovietnam Pleased With Joint Exploration Efforts in Vietnam

Hanoi (the Socialist Republic of Vietnam) hosted yesterday the sixth meeting of the Joint Coordinating Committee (JCC) between Gazprom and Petrovietnam State Oil and Gas Corporation aimed at implementing the Strategic Partnership Agreement signed by the companies.

The meeting was moderated by the JCC Co-Chairmen – Vitaly Markelov, Deputy Chairman of the Gazprom Management Committee and Nguyen Vu Truong Son, Vice President of Petrovietnam State Oil and Gas Corporation.

The parties discussed various aspects of the bilateral cooperation in the energy sector. Particularly, they expressed satisfaction with the results of exploration activities carried out by Vietgazprom joint operating company in blocks No.112 and No.129–132 offshore Vietnam.

Special attention was paid to the prospects for interaction in gas production from the Moc Tinh and Hai Thach fields located within licensed blocks 05.2 and 05.3 offshore Vietnam.

The meeting also addressed the cooperation deepening within the Gazpromviet joint venture to develop the Nagumanovskoye and Severo-Purovskoye fields in the Russian Federation.

The companies highlighted a significant potential of joint projects with Gazprom Gazomotornoye Toplivo and Gazprom International in the Socialist Republic of Vietnam.

In particular, the parties agreed that the feasibility study prepared for the project stipulating natural gas use as a vehicle fuel in Vietnam had confirmed its economic efficiency and viability. Based on the feasibility study results, the decision was made to sign an Agreement in this area.

The meeting resulted in adopting the 2014 action plan for the JCC and the Joint Working Group of Gazprom and Petrovietnam as well as assigning the corresponding tasks to the companies’ specialists.

Background

In the framework of the Vietgazprom joint operating company Gazprom and Petrovietnam are engaged in exploration, production and marketing of hydrocarbons in block No.112 of Vietnam’s continental shelf. As a result of the geological exploration performed in 2007, the Bao Vang gas and condensate field was discovered in the block. In 2009 natural gas reserves were also discovered in the adjacent Bao Den area.
A long-term Oil and Gas Contract is currently in force between Gazprom and Petrovietnam for blocks No.129, 130, 131, 132 on the continental shelf of the Republic of Vietnam. The document stipulates hydrocarbon exploration, development and production in these blocks. The Contract will be implemented on the PSA terms. Vietgazprom acts as the project operator.

[mappress]
Press Release, October 04, 2013