PetroVietnam surpasses oil exploitation plan by 23 percent in H1

PetroVietnam surpasses oil exploitation plan by 23 percent in H1. (Source: PetroVietnam)

Hanoi (VNA) - The Vietnam Oil and Gas Group (PetroVietnam) pumped 5.48 million tonnes of crude oil in the first six months of this year, surpassing the set target by 23 percent.

Meanwhile, gasoline production exceeded 14% of the plan, fertiliser production exceeded 8% of the plan, production and supply of gas, electricity and other energy products also reached a high level.

The group’s revenue in the period was estimated at 468.3 trillion VND (20 billion USD), up 55% year-on-year and double the goal set for six months.

It contributed 66.1 trillion VND to the State Budget, 2.2 times higher than the half-year plan and an increase of 41% compared to the same period last year.

This is considered a remarkable achievement in a context of global geopolitical and economic instability, caused by the conflict in Ukraine, increased inflationary pressures and China's Zero COVID policy.

These results are attributable to effective management of fluctuations and taking advantage of market opportunities.

At a recent meeting of the group, General Director Le Manh Hung said PetroVietnam faced numerous difficulties as the prolonged Russia-Ukraine conflict has caused disruptions to supply chains, pushing up prices of energies and materials, as well as transport and production costs.

Besides, existing oil and gas mines have seen big reductions in output while the exploitation of new ones is hindered by mechanism-related issues.

PetroVietnam General Director Le Manh Hung addresses the meeting. (Source: PetroVietnam)

Given such difficulties, the group has undertaken a series of measures to maintain output and stable operation, including the application of information technology, he noted.

PetroVietnam has concentrated its resources in order to accelerate the progress of investment projects and obtained positive results. The Song Hau 1 Thermal Power Plant which is put into commercial operation on May 13 is an example. On May 12, the Thai Binh 2 Thermal Power Plant Project was successfully connected to the Unit 1 grid with oil, seven days ahead of schedule.

In the second half, PetroVietnam will continue updating, evaluating and forecasting the macro-economic situation to develop operation plans, solve difficulties and actively find solutions to maintain the output, ensuring it is not lower than in 2021. It will expand consumption markets while promoting the implementation of linkage chains.

It will also enhance digital transformation, creating positive changes in business and governance models, thus improving operational efficiency, Hung said.

To maintain operational efficiency in the coming months, Hoang Quoc Vuong, PetroVietnam’s president asked the group's staff to continue making efforts to retain production, increasing the company's contribution to the country's economy in the context of the decline in many other economic sectors.

He also urged member units to ensure safety in production and business; promote investment and increase production; closely monitor and secure key projects.

In 2021, Petrovietnam was listed among three biggest companies in Vietnam behind Samsung Vietnam and Vietnam Electricity (EVN), according to the VNR500 rankings unveiled by Vietnam Report JSC.

The rankings were compiled basing mainly on enterprises’ total revenues and other performance criteria such as total assets, employees, growth rates, profits, and prestige on the media.

PetroVietnam posted revenue of 620.2 trillion VND in 2021, surpassing the yearly plan by 26.4%, and up 28% year-on-year.

The oil output reached 10.97 million tonnes, 13% higher than the plan set for the year, and fertiliser production 1.91 million tonnes, exceeding the yearly plan by 18%, and up 6% compared to 2020.

The group's pre-tax profit in the year surpassed the plan by 2.6 times, and up 2.2 times year-on-year, reaching 45 trillion VND. It contributed 112.5 trillion VND to the State budget, 80% higher than the set plan, and up 36% compared to the previous year./.