1. Oil & Gas Sector
Vietnam Chapter
Pham Quynh Mai, Market Advisor (Oil & Gas)
mapha@innovationnorway.no
September 2010
Vietnam Country Data
• Size: 329,560 sq km
• Economic zone: 1,000,000 sq. km
• Coastline: 3,260 km (ex. the
islands)
• Population: 86.2 million (2009e)
(60 -65% born after 1975)
• Capital: Hanoi
• Oil Capital: Vung Tau
• Member of ASEAN, AFTA, ASEM,
APEC and WTO
• Trade cooperation with 180
countries
• Trade agreements with 80 countries
• Key exported earners: Textile,
Footware, Crude Oil , Seafood
Photo credits
• Stable political conditions

2. Vietnam Oil & Gas Industry
… an overview
Vietnam Oil and Gas Potentials
Vietnam- 3rd largest oil producer in SEA
• 8 identified sedimentary basins
• Potential oil resources: 8.5 bn bbls
• Potential gas resources: 100 TCF
• Proven Oil reserves (2009): 4.5 bbls
• Proven Gas reserves (2009): 24.1 TCF
• PetroVietnam: dominant oil & gas
producer
Photo credits Source: PetroVietnam

3. Annual Oil & Gas Production
Source: PetroVietnam
Strategic Development Targets
Annual Production 2011 - 2015 2016 - 2020
(mm toe)
Domestic 27 - 39 30 - 33
International 3-7 10 -15
Total 30 - 46 40 - 48
New reserves 2011 - 2015 2016 - 2020 Total
(mm toe)
Domestic 120 – 150 270 -320 390 - 470
International 40 - 45 110 - 120 150 - 165
Total 160 - 195 380 - 440 540 - 635
Investments $4.5 bn p.a
in E&P (*) Source: PetroVietnam;
(*): BMI Q110

4. Oil & Gas Production Forecasts
Source: PetroVietnam
Upstream Sector

5. Regional Upstream Business Environment Rating
Source: BMI Q110
Vietnam Domestic E&P map
102o E 104o E 106o E 108o E 110o E 112o E 114o E 116o E
CHINA
22o N 22o N
hµ néi
H¶i phßng
MVHN
MVHN-03KT 100-101/04
MVHN-02KT
106/07
2
N-0
MVHN-01KT § . B¹ ch long vÜ
VH
102 106
20o N 20o N
M
103 107/04
Thanh hãa
108/04 Hainan is.
104-109/05 (China)
VBB2005
Vinh
105-110/04
18o N 111/04
18o N
112 113
LA
§ . Cån cá
OS
114 115
HuÕ sa
116 117 141 Q. § .§Hoµngsa § . Ling c«n
. Hoµng
16o N § µ n½ng 16o N
THAILAND 118 142
§ . Lý 119
s¬n 143
120 144
121 145
14o N 122 146
14o N
Qui nh¬n
123 147
CAMBODIA
124 148
125 149 Cuu Long Basin êng sa
Q. § . Tr- Nam Con Son Basin Song Hong Basin
12o N Nha trang 12o N
126 150
01 (HN) PCOSB
V-T-P 2005 04-3 VSP 100-101/04 Santos
01/97 & 02/97 Lam son JOC 05-1 (DH) PVEP 102, 106 PCL (V)
127 151
Phan thiÕt 103, 107/04 Bach dang
Tp. Hå ChÝMinh 09-1 VSP 05-1b& 05-1c I demitsu
01/97
§ . Phó quÝ
128 152 104, 109/05 Premier Oil
§ BSCL-02 01-HN 09-2 Hoan vu JOC 05-2, 05-3, 06-1 BP 111/04, 112, 113 VietGazProm
15-1-ST 129 153
§ . Phó quèc § BSCL-03 Vòng 15-1/05 15-2-RD02/97
tµu15-2/01 09-3 VRJ JOC 06/94 Pearl Energy MVHN-02 Quad Energy
10o N R¹ ch gi¸ CÇ th¬
n 09-2/03
16-1/03 16-1
15-1 (ST) Cuu long JOC
10o N 07/03 Premier Oil
§ . Thæchu 41
§ BSCL-01
16-2 09-1
09-2
09-3 03
130 154
M alay-Tho Chu Basin
42 25 17 131 155
15-1/05 Phu quy JOC 10 & 11-1 Con son JOC
47/01 § BSCL-04 09-3/05 PM 3 CAA Talisman
Cµ mau
31 04-2 04-1 15-2 (RD) JVPC 11-2-1 KNOC
B/05 48/05
43 18 10 132 156 B/05, 52/97 Chevron Vietnam
26
05-1-DH
04-3 15-2/01 Thang long JOC 12 Premier Oil 46 (CN) Talisman Vietnam
52/97 50 44 37 32 C«n ®¶o 19
27
11-1 05-1/04
05-3/97
133 157
16-1 Hoang long JOC 28, 29/03 M itra Energy 46/02 Truong son JOC
8o N 11-2 05-3-1 05-2
16-2 PVEP 8o N 133, 134-1 ConocoPhillips
VT
M
51
are
45 38 33
28
20 11-2/97
12/07 06-1 134-2
134-1 158
Phu Khanh Basin
a 46/07 39 34 12 06/94
§ BSCL-01 Salamander
46/02 21 135 159 122 Chevron Vietnam
46-CN
PM
12/07 12/07
07/03 Bacbo Gulf-2005 Vietnam-Philippine
3C 40/02 35 124 Pogo Producing
AA 29/03 22/03 13/03 136/03 160
-China 2005 127& 128 ONGC Videsh
36/03
Blocks awarded, but
6o N PETROVIETNAM - March, 2008 6o N contracts not signed yet
Source: PetroVietnam
102o E 104o E 106o E 108o E 110o E 112o E 114o E 116o E

6. E&P Activities
Yet-found
Discovered Potentials
MAJOR PRODUCTIONS:
MAJOR PRODUCTIONS:
• OIL FROM CUULONG BASIN
• OIL FROM CUULONG BASIN
• GAS FROM NAM CON SON BASIN
• GAS FROM NAM CON SON BASIN Source: PetroVietnam
OFFSHORE, WATER DEPTH: 30M – 150M
OFFSHORE, WATER DEPTH: 30M – 150M
Seismic Activities
• 400.000 km
2D
• 60.000 km2
3D
• > 990 wells
• >2.3 mill
meters
drilling depth
Current Status of seismic surveys (Apr 2010) Newly acquired multi-client seismic surveys
BY 2015, PTSC TARGETS:
BY 2015, PTSC TARGETS:
• OWN 10 ROVs
• OWN 10 ROVs
• 3-5 2D/3D SEISMIC ACQUISITION VESSELS
• 3-5 2D/3D SEISMIC ACQUISITION VESSELS
• DOMINATES 90% OF DOMESTIC MARKET
• DOMINATES 90% OF DOMESTIC MARKET Source: PetroVietnam

7. Open Opportunities
Source: PetroVietnam
Updated Dec 2009
Drilling Achievements
• Longest Well (HVJOC):
6,555mMD @4,609mTVD
• Deepest Well (VSP):
5,050mMD @5,009m TVDss
(VSP)
• Longest Displacement
(CLJOC): 4,842.8m
(6,350mMD @3,057mTVD)
• Longest Basement Interval
(CLJOC): 2,715m
• Deepest Water Depth (BG):
821m.
Source: VPI

8. Drilling Technologies Being Used
• Geo – Steering
• MWD/LWD, MWD/GYRO
• Extended Reach Drilling
• Light Cement Slurries
• Bit Optimization
• New Mud Systems
• Splitter Wellhead
• Casing Drilling
• Mud Cap Drilling
• Managed Pressure Drilling
• Slim Hole Drilling
• Expandable Casing
• Rotary Steerable System Source: VPI
Future Drilling Activities
• Vietnam market requires 10-
11 jack-up rigs p.a
• 900 wells to be explored by
2025, whereas 50 wells to
be explored between 2011-
2015 each year in average
• PVD, VN-Index listed
company with 50.38%
Source: ODS Petro Data & PVD
ownerhip by PetroVietnam,
accounts 30% drilling market share with 3 jack up rigs
PVD EXPECT TO INCREASE ITS MARKET
PVD EXPECT TO INCREASE ITS MARKET
SHARE TO 50% BY INVESTING 5-7 RIGS IN
SHARE TO 50% BY INVESTING 5-7 RIGS IN
NEXT 3 YEARS
NEXT 3 YEARS

9. PVD Investments
Investment schedule
Source: PVD
Upstream Challenges
• Major oil fields, like Bach Ho, have reached to their maturity
and lower production has experienced
• High pressure high temperature drilling in the main Nam Con
Son basin
• Unrecovered petroleum resources are spreading mainly in high
water depth zones and far from logistic bases
• New recoveries: Marginal fields, gas with high CO2 content,
especially in the north basins (70-90%)
• Oil and Gas production in complex reservoir structures (75% in
the fractured granite basement reservoirs)
• Lack of experiences in deepwater E&P. Financial constrains
• Territories conflicts in some potential oil areas

10. Midstream Sector
Gas Transportation System
Southeast-Southwest PL:
•Capacity: 2 bcmpa Bach Ho –Phu My PL:
CAMBODIA•Oeration in ~ 2014 •Capacity: 2 bcmpa
•Length: 117 km
•Diameter: 16”
Block B – O Mon PL: Hiep
•Operation in 2014 Phuoc
Phu My Complex
•Capacity: 7 bcmy
Dinh Co GPP Nam Con Son 2 PL:
•Length: 400 km
•Diameter: 28-30” •Capacity: 7 bcmpa
O Mon
•Length: 330 km
Cuu Long •Operation in ~ 2013
Ca Mau
Basin
Complex
Nam Con Son PL:
PM3-Ca Mau PL: •Capacity: 7 bcmpa
Ma Lay Tho
Chu Basin •Capacity: 2 bcmpa •Length: 400 km
•Length: 330 km •Diameter: 26”
Nam Con Son
Vietnam – •Diameter: 18” Basin
Malaysia CAA
Source: PVGas

11. Gas Transportation System
No activities within LNG to date,
but new investments are coming
up
Possible Gas Structure in Vietnam
• Import LNG by 2012 and PNG by 2018
for domestic market
• Get accessed to new markets in South
East Asia after 2018
(by PVGas)

12. Other Investment Plans
• Build a mini LNG terminal to supply fuel to a Power plan
project in Phu Quoc Island (<200MW) in 2 phases:
• Phase 1: upto 2015 with capacity 150,000 tpa LNG
• Phase 2: after 2015 increase to 300,000 tpa LNG
• Build/acquire 2 LNG re-gasification terminals in South East of
Vietnam:
• Lease 1st floating LNG FSRU (0.5-1 mmtpa): 2012
• Build 1st land-based LNG re-gasification terminal:
• Phase 1: 1 mmtpa in operation in 2015
• Phase 2: 3 mmtpa in operation in 2020
• Phase 3: 6 mmtpa in operation in 2025
• Implement Marginal Gas Gathering Projects in Cuu Long, Nam
Con Son, Malay-Tho Chu and Song Hong Basins
• Thi Vai refregirated LPG terminal (60 ktns): 2009-2012
Downstream Sector

13. Current Supplies of Petroleum Products
Source: PVPro
Current Supplies of Petrochemicals
Source: PVPro

14. PetroVietnam Projects
1. Dzung Quat refinery($3.1 bn, 6.5 mntpa):
Feb09
2. Nghi Son refinery($8 bn, 8.4 mntpa): 2010–
2013
3. Long Son refinery($8 bn, 10 mntpa): 2010–
2015
4. South Vietnam Petrochemical complex
($3.8bn): 2014
5. Ca Mau fertilizer plan ($900mn): 2008 -
2012
6. Others: Polypropylene Project, Polyester
Stable Fiber Project, etc.
Source: PVPro
Other projects
• Petrolimex refinery ($4.4-4.5 bn,10 mntpa): 2014
• Vung Ro Refinery ($1.7 bn, 8 mntpa)
• Can Tho Refinery ($538 mn, 2mntpa): 2012

15. Opportunities &
Ways to materialize
Opportunities to Norwegian Co.
• Increased Oil Recovery
• Deep water drilling, and sub sea technology
• LNG whole value chain
• Distribution and utilisation of gas ashore, both for industrial
and consumer usage
• Establishment of local production of supporting devices
Photo credits: Unknown

16. Ways to materialize opportunities
31
Why IN Hanoi
Our position:
• Local present in the market with a dedicated team with focus
within Oil & Gas, Maritime, Marine and Energy and
Environment who understand the business culture and
practices
• Strong network within Oil & Gas community
• Strong position in the market, commercially and politically
Our activities within Oil & Gas in 2010:
• Identifying market needs within IOR/EOR (to be available Dec
2010)
• Closedly involved in the LNG value chain project with
PetroVietnam.

17. Vision
We give local
ideas global
Opportunities