Chevron Corporation is one of the world's leading integrated energy companies, with subsidiaries that conduct business worldwide. Chevron Vietnam Ltd. and its partners have discovered significant gas resources in Blocks B&48/95 and 52/97 in the Gulf of Thailand, offshore southwestern Vietnam. The resources from these fields will help to meet Vietnam’s growing energy and power needs. A Vietnam Business Forum reporter has a talk with Mr Hank Tomlinson, General Director of Chevron Vietnam on its investment and business activities in Vietnam.
With its gas-to power project of US$4 billion investment, Chevron will become the largest investor in Vietnam. The project investment period will last for 20 years. Is that because the gas reserve is sufficient for just 20 years or it is the investor’s calculation?
The resources in the scope of our project have been designed to supply a gas amount sufficient for 20 years. That is our most update information. However, we believe that when we conduct site drilling on those wells, it is possible to discover other gas reserves. Then it will be a different story. Now our plan is being set up based on present research data, which is 20 years, as you know. However, we would remind you that our project document states “over 20 years,” not just “20 years.” In my mind, I would say 25 years or longer.
Chevron Vietnam has a joint venture with Asphalt (Bitumen) Co. Ltd. Besides the above mentioned project, does Chevron intend to do long-term investment in a field other than gas and oil mining in Vietnam?
The gas-to power project that I just mentioned is sited in Block B and Block 502, in the South West coast of Vietnam. Besides that, we have already deployed a project in Block 122 in the East coast of Vietnam. We also take part in an asphalt joint venture and own Caltex lubricant trading company. Products of those two companies are useful for the infrastructure and socio-economic development of Vietnam.
Chevron also has investment projects in other countries. Can you make a comparison between the investment environment in Vietnam with that in other countries?
I can only give an answer based on my experience in the countries where I have worked for Chevron so far. Vietnam is the seventh country. In my opinion, the country of Vietnam has a young population and much potential to develop. That is why Chevron wishes and hopes to become a partner of the Vietnamese government and people. One important factor for the decision of investors to invest in any country or any project, in my point of view, is the quality of relations between investors and their partners in the local country, who can be the Government or business partners. Specifically, it is the inviolability of contract terms. Once a contract has been signed, it is not allowed to make changes or differences. We feel delighted that the Vietnamese government is aware of that. It guarantees foreign investors’ belief in the business environment in Vietnam, and attracts long –term FDI. That is why Chevron goes on negotiating with PetroVietnam to implement the project and fulfill our commitments.
Reported by Huyen Nhi
Vietnamese
