Vietsovpetro Hits Offshore South Vietnam

Vietsovpetro has found a new reserves in the South White Tiger area, 120 kilometers off the Ba Ria-Vung Tau province. "We have completed a new test drill at our Well 16 and found a commercial reserve which can provide a daily output of 170 cubic meters of crude oil and 7,350 cubic meters of gas," said Tran Hong Phong, a technical director of Vietsovpetro.

The testing work has been carried out in water 50 meters deep in an area near a Vietsovpetro's production area, he said, noting that oil reserves are generally found at depths between 3,955 meters and 4,150 meters. "We will need to implement at least two other exploration wells before we can decide if we will install new production rigs in this area," Phong said.

Vietsovpetro's production accounts for 80% of Vietnam's crude oil output. The joint venture supplies 38,400 metric tons of crude oil and 5 million cubic meters of natural gas a day, he said. In the first 11 months of this year, Vietnam produced 15.466 million tons, up 6.1% on year, valued at $2.97 billion, down 8.3% on year. The country exports all its crude oil.