4:38:18 PM | 28/10/2008
The state-owned oil monopoly PetroVietnam group has recently submitted to Prime Minister Nguyen Tan Dung for approval a plan to cut its crude oil production output this year to between 15.5 million and 16 million tons from current 16.2 million, said Do Van Hau, PetroVietnam's deputy general director.
Limits on production conditions, production stagnancy seen at overseas oilfields, and the sharp fall in global oil price and demand are attributed to PetroVietnam's proposal, the News newspaper reported.
The official, however, said that PetroVietnam will strive to fulfill the plan to produce between 15.5 million and 16 million tons of crude oil this year in a bid to hike its contribution to the state budget and to national inflation curbing efforts.
Global economic recession triggered by the current financial crisis has sunk the world oil price to US$59.32 per barrel October 27 for delivery December this year in London, the lowest since February 2007, the Vietnam News Agency reported.
Earlier, Dung requested PetroVietnam to hike its crude oil output by between 200,000 tons and 300,000 tons to 16.2 million-16.3 million tons this year to satisfy input material demand for the country’s first oil refinery Dung Quat that is expected for operation next February. (News, People's Army)
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