Japanese investors courted

More than 130 key Japanese oil and gas investors came to PetroVietnam last week hunting energy industry opportunities in Vietnam.

Nguyen Tien Dung, vice general director of PetroVietnam, said in a seminar organised by the Vietnamese government nine key projects in up, mid and downstream areas were presented to Japanese investors such as Mitsui Oil Exploration, JX Nippon Oil and Energy Corporation, Mitsubishi Heavy Industries, and Mitsui Engineering and Shipping.

The opportunities up for grabs are LNG Thi Vai-Cai Mep terminal, Dung Quat shipping building factory, Phuoc An port and the Vung Ang 1, Hua Na, Nhon Trach 1 power plants.

 “The projects have high economic efficiency and the Vietnamese government and PetroVietnam will give the greatest support to Japanese investors,” Dung said.

In 2010, PetroVietnam held a similar seminar in Tokyo where it presented 30 priority projects to Japanese investors 

According to PetroVietnam’s development master plan, it would need $40 billion to 2015 to develop its activities.

Japanese investors have joined in many different investment fields with PetroVietnam, from upstream to downstream, with exploration of the Rang Dong oil field, and development of the Nghi Son refinery.

J-Power has taken part in the setting-up of a thermal power plant in Dong Nai province.

Marubeni has cooperated with PetroVietnam to find out financial source for Blocks 052 and 053 and other Japanese investors have set up a financial fund to raise investment for real estate projects of the group.

PetroVietnam is present in 14 countries and in 2011 it generated revenues of $35 billion, accounting for a significant part of Vietnam’s GDP and was a major contributor to the state budget.

It is now operating 20 oil and gas fields in the country, along with five abroad. In the power sector the group is the second largest power producer in Vietnam following Electricity of Vietnam, accounting for 10 per cent of the country’s capacity.

In midstream sector PetroVietnam is operating five gas pipelines with total capacity of 14 billion cubic metres per day.