PetroVietnam: H1 pre-tax profit surpasses plan by 165 percent

 

Hanoi (VNA) – The Vietnam Oil and Gas Group (PetroVietnam) reported that its pre-tax profit in the first six months of the year surpassed the plan by 165 percent and tripled from that in the same period last year, reaching 21.3 trillion VND (926 million USD).

Thanks to global economic recovery and the COVID-19 pandemic being brought under control, PetroVietnam met and surpassed almost assigned targets.

During the first half, PetroVietnam’s crude oil and condensate output surpassed the plan by 15 percent, contributing to fulfilling the goal of tapping 9.68 million tonnes of oil equivalent. The output of petrol, oil and fertiliser was also higher than the target.

The group’s total revenue hit 299.3 trillion VND, exceeding the plan by 20 percent and up 22 percent on a yearly basis. Its contribution to the State budget soared by 33 percent to 45.2 trillion VND.

With return on equity (ROE) reaching 4.6 percent in the first half, PetroVietnam was among oil and gas companies with the best ROE in the world.

Its strategic products such as oil, gas, petroleum, electricity and fertiliser not only brought high revenue to the State budget but also helped stabilise market prices, especially amid the complicated developments of COVID-19 pandemic and the hike in prices of imported necessities.

Apart from efficient business activities, PetroVietnam also achieved encouraging results in investment. The group has gradually tackled difficulties in delayed projects, and accelerated the building of value chains to tap the advantages and strength of member companies. As of the end of June, it launched 19 connectivity chains.


The group also cut costs by over 1.6 trillion VND, or 62 percent of its plan.

In response to the Government’s appeal, PetroVietnam has so far donated over 500 billion VND to the national COVID-19 vaccine fund and supported anti-pandemic work in localities nationwide. The group’s nearly 10,000 employees have been vaccinated against COVID-19.

Chairman of the PetroVietnam’s Board of Directors Hoang Quoc Vuong said challenges remain in the last half of this year, especially amid the complicated developments of the COVID-19 pandemic with the emergence of new variants and uncertain oil prices.

In the current context, units need to stay united and help each other fulfill assigned plans, especially those in value chains, Vuong said.

PetroVietnam General Director Le Manh Hung said in order to reach 2021 targets, PetroVietnam and its affiliates need to stay updated and improve forecast about macro-economic situation and markets, in order to timely and flexibly adjust management measures.

The group is also taking synchronous measures to keep its staff safe from the pandemic, thus preventing disruption to production.

PetroVietnam will also expand the markets of gas, petrochemical and other products; improve management work, tackle difficulties in production and trade in State management agencies.

At the same time, it is continuing to optimise investment, production costs, connectivity chains and increase mutual support among units.

The Politburo issued Resolution No 41-NQ/TW, dated July 23, 2015, on the strategy for developing Vietnam’s oil and gas industry to 2025 and vision to 2035, and Resolution No 55-NQ/TW, dated February 11, 2020, on the national energy development strategy to 2030 and vision to 2045. Both resolutions stress that PetroVietnam must further apply scientific and technological advances in petroleum exploitation as well as the production and trading of oil and gas, electricity, fertiliser, and new energy such as shale oil, gas hydrate, and hydrogen gas, so as to guarantee national energy security.

The group’s development strategy also emphasises the overall goal of building strong scientific and technological capacity by adopting breakthrough solutions, which is considered a foundation for PetroVietnam to accelerate its growth and develop sustainably.

Over its 60 years of development, PetroVietnam has worked to improve its sci-tech development and application capacity, adopted advanced techniques and technologies, and made the best use of existing technologies in order to keep up with its counterparts in the region and the world./.