Vietnam deemed one of Gazprom’s key partners in Southeast Asia

RELEASE

A working meeting between Alexey Miller, Chairman of the Gazprom Management Committee, and Nguyen Vu Truong Son, CEO and Chairman of the Board of Directors of Vietnam Oil and Gas Group (PetroVietnam), took place on the margins of the Asia-Pacific Economic Cooperation summit in Danang, Vietnam.

The parties discussed a wide range of issues related to bilateral partnership, including hydrocarbon production and geological exploration in Vietnam.

Vietnam deemed one of Gazprom’s key partners in Southeast Asia
Vietnam deemed one of Gazprom’s key partners in Southeast Asia

Gazprom’s exploratory drilling and seismic survey area in Vietnam

Particular attention was paid to cooperation in the NGV market. The meeting placed a focus on the construction project for a small-scale LNG production complex and a CNG filling network in southern Vietnam. A feasibility study for the project is underway. It was noted that the project would contribute to the proliferation of vehicles powered by natural gas – a modern and environmentally-friendly fuel.

“Vietnam is one of Gazprom’s key partners in Southeast Asia. Together with PetroVietnam, we successfully conduct geological exploration and produce hydrocarbons, as well as make preparations to develop the country’s NGV market.

We are also exploring new avenues for cooperation. One of them is gas-fired power generation. In that connection, we are discussing the prospects for supplying LNG to Vietnam from the Gazprom Group’s portfolio for the purposes of power generation,” said Alexey Miller.

Background

Vietnam’s PetroVietnam Group is focused on hydrocarbon exploration, production, processing, transportation and marketing. Gazprom and PetroVietnam collaborate under the Agreement on strategic cooperation.

Vietgazprom, a joint operating company established by Gazprom and PetroVietnam on a parity basis, is engaged in exploration in licensed blocks Nos. 112 and 129–132 located on the continental shelf of Vietnam. Gazprom is represented in the joint venture by Gazprom International, a specialized company for the implementation of hydrocarbon prospecting, exploration and development projects outside Russia.

Since 2013, Gazprom International and PetroVietnam have been engaged in commercial gas and condensate production from the Moc Tinh and Hai Thach fields offshore Vietnam.

In 2015, PVGAZPROM Natural Gas for Vehicles, a joint Russian-Vietnamese company focused on the use of natural gas as a vehicle fuel, was registered. The joint venture consists of Gazprom International (35.5 per cent), Gazprom Gazomotornoye Toplivo (35.5 per cent), and PETROVIETNAM GAS (29 per cent).

In 2016, Gazprom and PetroVietnam signed the Memorandum of Understanding on the development of new oil and gas projects, the Memorandum of Understanding on power generation, and the Addendum to extend the Cooperation Agreement on personnel training.

 

Related news