Deputy PM urges PetroVietnam to up efficiency

Saturday, Jan 13, 2018 08:32

Compressor platforms in Bach Ho (White Tiger) oil field, developed by Vietsovpetro, a joint venture between PetroVietnam and a Russia group. PetroVietnam said that it would hasten exploration in 2018 to increase oil and gas reserves. — VNA/VNS Photo Huy Hung

Deputy Prime Minister Trinh Dinh Dung urged the Viet Nam Oil and Gas Group (PetroVietnam) to focus on restructuring and improving business efficiency in 2018.

Dung at PetroVietnam’s conference to implement 2018 tasks held on Friday appreciated the efforts of PetroVietnam to achieve higher-than-target results in 2017 despite significant impact from low oil prices in the global market.

“The most difficult time of PetroVietnam is gradually over. Now, resources should be focused on restructuring the management system from the parent company to the affiliates to streamline and enhance operation and restructuring investments to prevent losses and enhance efficiency,” Dung said. “At the same time, PetroVietnam must hasten the application of industry 4.0 technologies to move towards sustainable development.”

Dung asked PetroVietnam to effectively implement the oil and gas industry development strategy by 2025 with a vision to 2035.

He said the government would support the company in implementing major oil and gas projects.

Dung urged PetroVietnam to speed up major projects that were making slow progress, such as the expansion of Dung Quat Oil Refinery, Nghi Son Oil Refinery, Petrochemical Complex in the southern region, Block B- O Mon gas pipeline, and Vung Ang A, Thai Binh 2, Long Phu 1 and Song Hau 1 thermoelectricity plants.

Five inefficient projects must be handled thoroughly, including Dinh Vu polyester plant, Dung Quat shipyard and three bio-fuel plants, Dung said.

PetroVietnam general director Nguyen Vu Truong Son said the company targeted to produce 22.83 million tonnes of oil in 2018, adding the group would hasten exploration this year to increase oil reserves.

In addition to this, PetroVietnam will closely monitor the fluctuations in global oil prices for timely measures to cope with the volatility.

PetroVietnam’s production output reached 25.41 million tonnes in 2017, 1.6 million tonnes higher than the target.

Its 2017 revenue reached VND498 trillion (US$21.85 billion), exceeding the target by 13.8 per cent and rising by 10 per cent over 2016, while its pre-tax profit was VND31.9 trillion, 92 per cent higher than the target.

The group contributed VND97.5 trillion to the State budget last year, 30.8 per cent higher than the target. — VNS

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