PetroVietnam Plans US$9Bln for Oil Exploitation in Venezuela

The state-owned oil monopoly PetroVietnam group is planning to pour an estimated investment of US$9 billion into oil exploitation in Venezuela, the Vietnam Economic Times newspaper reported, citing the group’s sources.

 

The move came after the recent signing of cooperation agreements on oil and gas exploration, production, oil refining and electricity sectors inked between the two countries.

 

Currently, PetroVietnam and Venezuela’s state-run Petroleos de Venezuela S.A (PDVSA) are negotiating price and delivery time of an agreement to provide 7.2 million barrels of crude oil for Vietnam per annum.

 

They are also in talks for crude oil production from Block Junin 2 in Venezuela, oil refining joint venture in Vietnam, oil transport joint venture, Venezuelan crude oil supply for the hoped oil refining joint venture in Vietnam, and PetroVietnam’s oil purchase from PDVSA.

 

PetroVietnam will next year pay due attention to attract foreign investment sources, as well as build corporations meeting international standards in order to list in foreign exchanges.

 

The group is estimated to spend between US$15 billion and US$20 billion investing in big oil production home and aboard by 2015.

 

PetroVietnam has so far injected more than US$226 million into 21 projects overseas, with nearly 90 per cent of the investment going to development and exploitation and the rest to exploration, mainly in Myanmar, Cambodia, Egypt, Tunisia, India, Angola, and Cameroon. (Vietnam Economic Times)