Eni to explore offshore Vietnam

Oil and gas major Eni has signed two new production sharing contracts for offshore exploration in Vietnam.

Eni's CEO, Claudio Descalzi and Petrovietnam's President and CEO, Do Van Hau, together signed two production sharing contracts (PSCs) for the exploration of blocks 116 and 124, located off the coast of Vietnam.

Two exploration blocks

Block 116 covers an area of around 5000 km² in the Song Hong basin, in waters with a depth ranging from 10 - 120 m. The PSC block, wholly owned by Eni, provides for an exploration period of seven years divided into three phases.

Block 124 covers an area of 6000 km² in the Phu Khanhbasin, in waters that have a depth ranging from 50 - 2600 m. The PSC provides for an exploration period of seven years divided into two phases. This block is held by Eni, which is the operator with a 60% stake, and by Santos Vietnam with a 40% stake.

Eni’s investment in Vietnam

Claudio Descalzi also met Hoang Trung Hai, Deputy Prime Minister with responsibility for Trade, Industry, Construction and Transport, and provided him with an update of the activities and projects that Eni is developing in the country.

“The participation in these two new high-potential blocks will consolidate our presence in the area and support our growth in the Pacific basin. The proximity of these blocks to those which we already operate will enable us to exploit at best the logistical and operational synergies, with considerable savings in terms of time and costs,” said Eni's CEO.

These new agreements confirm Eni's interest to continue and consolidate its presence in Vietnam, where the company returned in 2012 and already operates four offshore exploration blocks.

Adapted from press release by Cecilia Rehn

Read the article online at: https://www.oilfieldtechnology.com/exploration/14102014/oil-and-gas-company-eni-to-explore-offshore-vietnam/