Illustrative image (Source: PetroVietnam)

Hanoi (VNA) – The Vietnam National Oil and Gas Group (PetroVietnam) contributed 23.8 trillion VND (1.04 billion USD) to the State budget in the first quarter of this year, representing a year on year rise of 12 percent and exceeding the quarterly plan by 30 percent.

Total oil production of the firm in the period was 6.34 million tonnes, exceeding the plan by 4.5 percent.

The group also generated 5.72 billion kWh of power, 431,200 tonnes of nitrogen, and 1.69 million of petrol.

At the same time, its financial targets were completed, with total revenue of 136.3 trillion VND (5.99 billion USD), surpassing its plan by 12 percent and posting a rise of 15 percent year on year.

However, the firm is likely to face many difficulties in fulfilling the goals set for 2018 as the crude oil price in the world has fluctuated unexpectedly, affecting its business.

Meanwhile, PetroVietnam’s major products are coping with fierce competition from imported ones, while obstacles in related policies and mechanisms have yet to be removed.

The reduction in exploitation in major wells in 2018 is also forecast, while geological risks are rising, negatively impacting oil production of the whole country, including the PetroVietnam.

PetroVietnam produced 15.52 million tonnes of oil in 2017, surpassing its set target by 1.3 million tonnes. -VNA