Vietsovpetro surpasses yearly oil and gas production target hinh anh 1An oil rig at Bach Ho field (Photo: VNA)

Hanoi (VNA) - The Vietnam – Russia oil and gas joint venture Vietsovpetro has reported that its oil and gas output in 2020 is likely to reach 3.42 million tonnes, surpassing the set target by nearly 300,000 tonnes.

Vietsovpetro General Director Nguyen Quynh Lam said that the joint venture completed its oil production target one month earlier than the plan, while the natural gas output target was also fulfilled 44 days ahead of schedule.

Regarding the search and exploration work, Vietsovpetro has finished construction of six wells.

As part of solutions to difficulties posed by the COVID-19 pandemic, the company has made efforts to cut production cost and spending. As a result, it has reduced spending by over 105 million USD, and its production costs decreased by 17 percent compared to the plan.

In 2020, the joint venture’s oil sales reached only about 1.11 billion USD, equal to 81.1 percent of the plan. It contributed nearly 745 million USD to the State budget.

Its revenue from outside services and other activities totaled over 213 million USD, while after tax profit hit more than 49 million USD.

Vietsovpetro plans to exploit 2.999 million tonnes of oil and condensate, and contributed 519.4 million USD to the State budget in 2021, along with 157 million USD in profit in the year./.