Binh Son refinery signs sales deals with four oil companies

Binh Son refinery has signed contracts with four state owned oil companies for the sale of oil products commencing in 2011. Binh Son signed deals with Petrolimex, Vinapco and two of Petrovietnam's subsidiaries PV Oil and Petec Trading and Investment Corp.

The volume committed to the four companies totalled 4.7 million cubic meters, comprising of 92 RON and 95 RON gasoline, diesel, jet A-1 and fuel oil, accounting for about 81 per cent of Dung Quat refinery's planned output of petroleum products for next year.

The refinery's planned output for 2011 is 4.9 million cubic metres of which 4.6 million cubic are petroleum products. Of Binh Son's committed sales volume of 4.7 million cu m for 2011, Vinapco will take 200,000 cu m of jet A-1 while Petrolimex has contracted to buy 2 million cu m, half of which is 92 RON and 95 RON and the other half, diesel. PV Oil and Petec will lift 1.5 million cubic metres and 1 million cubic metres respectively.

Source: Platts

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PetroVietnam and TNK-BP sign oil and gas MoU

PetroVietnam has signed a memorandum of understanding (MoU) on oil and gas co-operation with Russia's TNK-BP. The pact will enable the two countries to set up an exploration and production venture in Russia.

TNK-BP is expected to develop plans to expand Vietnam's Dung Quat oil refinery. The country's national press has said that Deputy Prime Minister, Hoang Trung Hai, has approved plans to raise the refinery's capacity to 10 million tonnes of crude oil a year, or 200,800 b/d, from the current of 6.5 million tonnes.

TNK-BP is also expected to supply crude oil to PetroVietnam, or its trading arm, PV Oil, once the two countries start co-operation.

Source: Dow Jones

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