PVN asked to expand exploration and exploitation in 2016

Deputy Prime Minister Hoang Trung Hai requested the National Oil and Gas Group (PVN) to continue concentrating on search, exploration and exploitation of oil and gas in 2016, saying that this is a key task of the sector in 2016.

Speaking at a conference in Hanoi on January 9, the Deputy PM praised the group for its achievements during the last five years, he suggested that an even greater future effort will bear fruit.

He said PVN also needs to keep a close watch on market developments to give a reasonable forecast of oil prices for 2016, and following years, adding that the group should pay attention on cutting expense to optimise its operation.

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PVN was also advised to focus on expanding scientific and technological applications, and fully tapping its high-quality workforce.

Deputy PM Hai asked PVN’s subsidiaries to make concrete plans for the group’s business management, and those to improve the qualifications of its staff.

PVN’s General Director Nguyen Quoc Khanh reported that the group still earned 560.1 trillion VND (around 25.2 billion USD) in revenue in 2015 in spite of falling oil prices, representing a rise of 4 percent against the set target, and 2.4 times higher than those in 2006-2010.

The group contributed 115.1 trillion VND (5.18 billion USD) to the State budget this year, up 19.8 percent against the year’s target.

PVN also fulfilled its plan to increase reserves for the two whole months ahead of schedule, reaching 40.5 million tonnes of oil equivalent, 8 percent higher than the yearly target.

Its exploitation output reached 29.42 million tonnes, exceeding 10.6 percent of the plan set by the Government. Of the number, crude oil reached 18.75 million tonnes, while gas exploitation hit 10.67 billion cu.m, respectively up 11.6 percent and 9 percent against its yearly plan.

Petrol, electricity and nitrogen production also recorded high growth, exceeding the set plan from 10-24 percent.

Khanh stated PVN will continue accelerating its restructuring and divestment’s capital, while increasing investment for its key business and production projects in 2016.

It will also expand coordination with relevant agencies in exploring and developing in deep water and offshore areas, he said.