petrotimes.vn | 01/07/2024

On July 1, 2024, Le Manh Hung, Chairman of the Board of Members of the Vietnam Oil and Gas Group (Petrovietnam), presided over a meeting between the Board of Members and the Executive Board to review the business results of June and the first six months of the year and to outline the tasks for the remaining months of the year.

The meeting was attended by members of the Board of Members, the Board of Directors, and leaders of specialized departments/Office of the Group.

In the first half of 2024, the Group maintained stable and continuous business operations without any accidents or incidents disrupting production. Petrovietnam ensured energy security, supplying sufficient gasoline, electricity, fertilizers, and other products to support economic and social development. The Group’s oil and gas rigs and extraction facilities operated with optimal uptime. The petrochemical processing plants operated at 112-116% of their designed capacity, and power plants consistently maintained high availability.

The increase in reserves during the first six months of 2024 is estimated at over 4.38 million tons of oil equivalent. The Group is currently drilling five exploratory wells. The 3D seismic survey campaign in the offshore development areas of Block B&48/95 and Block 52/97 commenced on June 19, 2024.

Overview of the meeting

In the first six months, the Group recorded several notable achievements: Vietsovpetro Joint Venture successfully extracted the 250 millionth ton of oil in its history, marking 43 years of development; two new oil and gas discoveries were made at the Rong and Bunga Aster fields. Recently, Thai Binh 2 Thermal Power Plant received conditional acceptance for Units 1, 2, and some shared components, laying the foundation for the investor to proceed with the recognition of the commercial operation date (COD) for the plant.

In terms of investment, the Group’s total investment value in the first half of 2024 reached VND 11,134 billion, exceeding the same period in 2023 by 1.1%. The disbursed investment value reached VND 14,449 billion. The total social security value of the Group in the first six months of 2024 was VND 456.4 billion.

Regarding production targets, the Group surpassed nine targets in the first six months: oil extraction (exceeding by 4.6%); gas extraction (exceeding by 6.7%); electricity production (exceeding by 7.6%); urea production (exceeding by 6%); NPK production (exceeding by 5.6%); gasoline production excluding NSRP (exceeding by 19.5%); LPG (exceeding by 1.9%); condensate (exceeding by 1.2%); and polypropylene (exceeding by 10.1%). Among these, three targets, including urea production, electricity production, and NPK production, grew compared to the same period in 2023.

Regarding financial targets, four out of six financial targets of the Group were completed or exceeded the six-month management plan. Four out of six targets grew from 0.3% to 25% compared to the same period in 2023, including: total revenue of the Group (up 15%); total state budget contributions (up 0.3%); consolidated revenue (up 14%); and revenue of the parent company (up 25%).

During the meeting, the Group’s leaders and specialized departments discussed unresolved issues and addressed the suggestions and proposals of the departments regarding the implementation of tasks for July and the last six months of 2024.

Chairman of the Board of Members of Petrovietnam, Le Manh Hung, concluded the meeting.

In concluding the meeting, Chairman Le Manh Hung emphasized the need to remain steadfast in the Group’s goals, focus on management, and be determined to accomplish the business tasks as outlined in the Group’s management plan.

In the coming time, Le Manh Hung requested identifying and evaluating potential risks for focused management; closely monitoring finances and cash flow with effective and appropriate management solutions; enhancing and promoting investment activities, and implementing solutions proposed at the Investment and Finance Conference to achieve better investment results, striving to meet high investment plan targets; researching M&A strategies to boost investment in E&P projects and the Group’s key projects; and having the Group’s leaders and specialized departments increase supervision and efforts to boost and enhance oil and gas extraction, electricity production, and production of other products.

Regarding the implementation of the strategy and thorough execution of the Conclusion 76-KL/TW of the Politburo, Chairman Le Manh Hung requested the assigned individuals and departments to actively coordinate with the Central Economic Commission and the Ministry of Industry and Trade to soon implement Conclusion 76 and resolve policy-related difficulties affecting the Group’s business operations.