Gazprom, the Russian oil and gas giant, and Petro Vietnam have just signed an agreement on the joint exploitation of natural gas in offshore Vietnam.
Under the agreement signed on April 5 th in Hanoi during the visit of a Russian business delegation led by Gazprom General Director, Alexey Miller, to Vietnam, a joint venture will be founded and Gazprom will hold 49 per cent of the shares in it and Petro Vietnam will possess the remainder.
The joint venture will exploit natural gas in two blocs within Vietnam’s continental shelf.
Earlier, the two oil and gas giants had signed an agreement on strategic partnership on December 15 th , 2009, under which the two sides boosted cooperation in exploiting oil and gas in Vietnam’s shelf.
The two gas blocs that the joint venture is about to exploit had earlier been found by Petro Vietnam.
According to estimates, the aggregate reserves of the two gas blocs amount to 55.6 billion square meters of natural gas and 25.1 million tones of condensed gas.
The joint venture is expected to drill some 16 wells at depths of 2,000-4,600metres to reach the gas.
Source: CafeF Translated by Thu Nguyen