The Vietnam Oil and Gas Group (PetroVietnam) has reported an oil output of 8.64 million tonnes in the first nine months of this year, 9.4% higher than the set target.

The Vietnam Oil and Gas Group (PetroVietnam) has reported an oil output of
8.64 million tonnes in the first nine months of this year. (Photo: PetroVietnam)

Of the total, 1.38 million tonnes were exploited overseas, 5.2% in excess of the group’s goal.

PetroVietnam gained VND423.2 trillion (US$18.27 billion) in revenue in the nine-month period, and contributed VND50.2 trillion to the State budget.

According to PetroVietnam General Director Le Manh Hung, the group faced formidable challenges in the period due to the COVID-19 pandemic, gloomy financial market, and low credit growth.

However, stable production, coupled with effective measures, helped the group gain better financial indices, he said, adding the group saved some VND7.17 trillion during January-September.

In the period, its members reaped impressive achievements, including Vietsovpetro that put the BK21 oil rig into operation last month, and PetroVietnam Fertiliser and Chemicals Corporation (PVFCCo) and PetroVietnam Ca Mau Fertiliser Company Limited (PVCFC) that exported 320,000 tonnes of fertilizer - the highest level the group has recorded.

As a pillar of the economy assigned with major responsibilities by the Party, the State, and the people, PetroVietnam and its staff, with a tradition of dedication and trained in hardships, have gradually weathered the difficulties to fulfill their duties.

This year, Fitch Ratings continued to assign PetroVietnam a standalone credit profile at BB , reflecting the company’s high degree of integration, diversification and conservative financial profile. It proves PetroVietnam’s strong financial status and business performance as well as its positive business prospects in the future, which bring confidence to domestic and foreign investors, financial institutions and strategic partners.

The rating also affirmed PetroVietnam’s sound policies to ensure rights and jobs for its employees amidst dual crisis of the coronavirus outbreak and surprised drop in oil prices.

In a bid to complete mission for the whole year, the group will continue stable and safe production, promote consumption to reduce inventories, as well as remove bottlenecks for implementation of oil and gas value chain.

Among the eight groups of solutions it has identified to deal with the current circumstances, two are being implemented in a proactive, concerted, and drastic manner.

The first includes improving the quality of corporate governance, boosting decentralisation, overhauling its document system and internal management regulations, stepping up digitalisation, and promoting risk governance. Meanwhile, the second covers capitalising on technological solutions to lower expenses and improve productivity, and reducing and delaying spending on non-urgent activities to minimise production costs.

PetroVietnam continued to top the Profit500 list, which names the 500 most profitable enterprises in Vietnam, in 2020.

This is the third year that the group has taken the leading position among the top 500 enterprises.

The list, announced by the Vietnam Report JSC and online newspaper Vietnamnet, also contains many enterprises in the oil and gas sector, such as PV Gas (7th place),  Vietsovpetro, PV Powers, PetroVietnam Technical Services Corporation (PTSC), PetroVietnam Drilling & Well Service Corporation (PV Drilling), Ca Mau Fertiliser Plant (PVCFC), to name just a few.

Vietnam Report said this year the ROA (Return on Assets) of companies on the list averaged 11.4%, slightly down from the 11.9% recorded last year. However, the ROE (Return on Equity) ratio improved to 21.7% from 20.9% in 2019.

It also took note of changes in top priority strategies of enterprises from now to the end of year, with 71.7% of them paying attention to sales, 58.3% focusing on seeking new markets and expanding existing ones, 49.2% looking to researching and developing new products and 42.6% planning to cut costs.