On 30 July, Deputy Industry and Trade Minister Hoang Quoc Vuong received a delegation, at the Ministry of Industry and Trade of the Socialist Republic of Vietnam, led by Andrey Kovtun, Director of the Representative Office of Gazprom International, a subsidiary company of Gazprom, which represents the interests of the Russian gas concern in Vietnam.
Issues related to the implementation of oil and gas contracts between Gazprom and the Vietnam Oil and Gas Group (PVN) Petrovietnam were discussed at the meeting. Kovtun informed the Deputy Minister that a representative office had been opened in Ho Chi Minh City by Gazprom International – Gazprom’s sole specialised company for the implementation of upstream projects outside of the Russian Federation – with the goal of intensifying cooperation between Gazprom and Petrovietnam in Vietnam, Russia and other countries. He also spoke of the situation regarding activities in blocks 112, 129-132, 05-2 and 05-3 on Vietnam’s continental shelf, which are being developed jointly, and of the progress in the creation of a joint company for the production of gas motor fuel.
Hoang Quoc Vuong commended the cooperation between Gazprom and Petrovietnam and gave assurances that the Ministry of Industry and Trade would continue to support Gazprom in oil and gas projects in Vietnam in the future. He expressed the hope that, with the opening of Gazprom International’s representative office in south Vietnam’s largest city, cooperation between Gazprom and Petrovietnam, as well as between Vietnam and Russia, in the energy sector as a whole would be strengthened and would contribute to a deepening of the comprehensive strategic partnership between the two countries.
In 2000, Gazprom and Petrovietnam signed a contract for the prospecting, exploration, production and marketing of hydrocarbons in block No 112 on Vietnam’s continental shelf. For the implementation of this contract, the parties founded the joint operating company Vietgazprom. Gazprom is represented in Vietgazprom by its wholly owned subsidiary Gazprom International, a unified specialised company for the prospecting, exploration, and development of hydrocarbon fields outside the Russian Federation.
In 2007, the Bao Vang gas and condensate field was discovered in the block; in 2009, in the adjacent Bao Den area, a gas field of the same name was discovered.
In 2008, the parties signed an Agreement on Cooperation, which envisaged geological exploration and the future development of four new blocks on Vietnam’s continental shelf, as well as the creation of a joint venture, Gazpromviet, for work in Russia and other countries.
In October 2008, Gazprom and Petrovietnam signed a long-term contract regarding blocks 129, 130, 131 and 132 on Vietnam’s continental shelf under the terms of a production sharing agreement (PSA), according to which Vietgazprom is the operator. Within the framework of this contract, a considerable amount of geological exploration has already been done, and preparations are under way for deepwater drilling.
In 2009, Gazprom and Petrovietnam signed an Agreement on Strategic Partnership. The parties agreed to continue their joint activities on Vietnam’s continental shelf on the basis of previously signed contracts, as well as to explore opportunities to work in new licensed blocks.
In 2012, Gazprom International entered into a project on Gazprom’s behalf for the exploration and development of the Moc Tinh and Hai Thach gas fields within licensed blocks No 05-2 and No 05-3 on Vietnam’s continental shelf; and industrial production at Moc Tinh began in September 2013.
In the photo: A. Kovtun and Hoang Quoc Vuong.
Photo: Petrovietnam Air Max 1 Ultra Flyknit