The next meetings of the Steering Committees for the oil and gas contract for Blocks 112 and 129-132 offshore from the Socialist Republic of Vietnam were held on 16-17 July in Hanoi, the capital city of Vietnam.
The participants at the meetings approved the programme of work and budget for the joint operating company (JOC) Vietgazprom for 2012. The position and depth of the next exploratory well in the Bao Wang field were also approved.
The participants on the Russian side at the meetings were Vladimir Rabkin (Gazprom's director for carrying out foreign and joint hydrocarbon deposit development projects), Valery Gulev (managing director of Gazprom International, Gazprom's specialist operator of foreign projects for the exploration and production of hydrocarbons), Valery Petrenko (CEO of the JOC Vietgazprom), and other representatives from Gazprom, Vietgazprom and Gazprom International.
The Vietnamese side in the work of the committees was represented by Phan Tien Vien (head of the geological exploration work departments in PetroVietnam Oil and Gas Group (PVN)), Doan Duy Tham (deputy department head for managing PVN's oil and gas projects), Nguyen Van Khue ( deputy CEO of PetroVietnam EP (PVEP)), and other specialists from Petro Vietnam and PVEP.
In 2000, Gazprom and Petrovietnam signed a contract for the exploration, prospecting, production and sale of hydrocarbons in Block 112 of the continental shelf of Vietnam. A Joint Operating Company, Vietgazprom, was created between Gazprom and PetroVietnam to implement this contract. After carrying out geological exploration in 2007 in the block, the Bao Wang gas condensate field was discovered, and in 2009, reserves of natural gas were also discovered in the neighbouring field of Bao Den.
In 2008, the parties signed an Agreement regarding future cooperation, which provides for geological exploration work and further development of 4 new blocks offshore from the Socialist Republic of Vietnam, and also the creation of a joint venture, Gazpromviet, for working in Russia and third countries, with a 51/49 stake in favour of PetroVietnam.
The Gazprom Group is represented in Vietgazprom by its single specialist business for the exploration and production of hydrocarbons abroad, Gazprom International.
In October 2008, Gazprom and PetroVietnam signed an Oil and Gas Contract for Blocks 129, 130, 131 and 132 of the continental shelf of the Republic of Vietnam for a period of 30 years. The document provides for exploration, development and production of hydrocarbons in these blocks. The contract will be implemented under production sharing conditions. Vietgazprom is the operator for the contract. At the exploration stage, Gazprom financed the project. 2-D seismic survey work and geochemical studies have been carried out within the scope of this contract, and the processing and interpretation of the resulting data is ongoing.
Gazprom and PetroVietnam signed a Strategic Partnership Agreement in 2009. The parties have agreed to continue their joint work on Vietnam's continental shelf within the scope of previously concluded contracts, and will also examine further potential for work in unused licensed blocks. The agreement also provides for cooperation within Russia, Vietnam and third countries under the company Gazpromviet. The main objective for collaboration in Russia was identified to be the Nagumanovsky oil and gas condensate field in the Orenburg Region. There is a possibility in the future to involve the joint venture in work on other licensed areas. Gazprom's interests in Gazpromviet are also represented by Gazprom International.