Gazprom and PetroVietnam agree on developing two oil and gas deposits

ST. PETERSBURG, June 18. /TASS/. Gazprom and PetroVietnam have signed agreement on basic conditions for developing Nagumanovskoye (in Orenburg Region) and Severo-Purovskoye (in Yamalo-Nents Autonomous Region) deposits, the Russian oil giant said in a statement on Thursday. The sides also discussed expanding cooperation in the oil sphere, including joint work in the framework of Zung Kuat oil refinery, and in the electric energy, NGV fuel and LNG supply. "The agreement on basic conditions is legally binding. The document outlines key provisions of projects, including plan of works, marketing concept, and general conditions of financing and pricing. I am confident that experience in joint extraction of hydrocarbons in Vietnam will allow us to successfully implement large-scale projects in Russia," Gazprom head Alexey Miller said. The activities of PetroVietnam cover oil and gas exploration, extraction, processing, transportation, distribution and services. Vietgazprom joint operational company (Gazprom - 50 percent, PetroVietnam - 50 percent) conducts oil exploration in several parts of Vietnam’s continental shelf. Since 2013, Vietgazprom has been conducting oil extraction at Mok Tin and Hai That deposits on Vietnam’s shelf (35.9 billion cubic meters of gas and 15.2 million tons of gas condensate). In 2009, Gazprom and PetroVietnam signed an agreement on strategic partnership which envisages cooperation in oil and gas projects on the territory of Russia, Vietnam and third countries. In 2014, Gazmprom and Vietnam signed a framework agreement on conditions for developing the Nagumanovskoye (confirmed geological reserves of gas - 5.8 billion cubic meters, of condensate - 1.683 million tons and of oil - 960,000 tons) and Severo-Purovskoye (confirmed geological reserves of gas - 45.5 billion cubic meters, of condensate - 6.826 million tons) oil and gas deposits. Gazpromviet (Gazprom - 51 percent, PetroVietnam - 49 percent) hold the license for developing the Nagumanskoye and Severo-Purovskoye deposits. Zung Kuat is the only oil refinery in Vietnam. Its capacity is 6.5 million tons per year. Read more