Hunting for block busting bidding

PetroVietnam is appealing for international bidders to exploit blocks offshore of Vietnam.

Blocks 05, 3/11 and 10/11 of the Nam Con Son basin, Blocks 03, 22, 41, 43 and 50 of Phu Quoc basin are up for grabs.

Nguyen Van Hau, standing vice chairman of the group, said the blocks could be formed under product sharing and joint operating contracts or others upon partners’ proposals.

The bidding cycle was expected to begin in May. Hau expected that the bid winners could be chosen by the year’s end.

PetroVietnam has presented a list of oil and gas projects calling for foreign partnership, including the Dung Quat refinery expansion, Long Son and Nghi Son refineries, Southern Petrochemical complex, Ca Mau fertiliser plant, Nghi Son underground oil storage terminal and Ca Mau gas processing plant.

Association of Dutch Suppliers in the Oil and Gas Industry (IRO) president Alex Enthoven said: “As far as I know, many Dutch companies are paying attention to oil and gas sector of Vietnam since we have seen that the potential of the country is great.”

He said the Netherlands was strong in providing supply services to Vietnam’s firms.

PetroVietnam also hopes to work with Dutch enterprises to construct pipelines transporting gas from to service ports in Cam Ranh and Hon La in the central provinces of Ninh Thuan and Quang Binh.

The pipelines could also stretch to ports for importing liquefied gas in Thi Vai in southern Vung Tau province, Hau said.

PetroVietnam aims to raise gas output from the current nine billion cubic metres to 14 billion cubic metres by 2015 to meet demands of power generation and fertiliser production.

Vietnam’s crude oil reserves stood at 4.4 billion barrels at the end of 2010, while crude oil productivity last year reached 15.1 million tonnes. Gas production reached 9.4 billion cubic metres. – VIR

Tags: Petro Vietnam, Vietnam oil and gas industry