ExxonMobil Set to Start Vietnam's Largest Gas Project in November

Tuan Minh

11:27 30/08/2017

BizLIVE - The project will help Vietnam accelerate its switch to cleaner energy from coal-fired power plants.

ExxonMobil Set to Start Vietnam's Largest Gas Project in November

PM Nguyen Xuan Phuc meets with Jon Gibbs, ExxonMobil's vice president in Asia Pacific and Middle East, in Hanoi on Aug. 29. Photo: Quang Hieu/VGP

U.S. oil giant ExxonMobil Corp could start its Blue Whale gas project in Vietnam in November when top leaders of the Asia-Pacific region gather in the Southeast Asian country, national broadcaster Vietnam Television (VTV) reported on Tuesday in a prime-time news bulletin.
At a meeting with Jon Gibbs, ExxonMobil's vice president in Asia Pacific and Middle East, in Hanoi on August 29, Prime Minister Nguyen Xuan Phuc welcome Exxon Mobil to officially kick off the project in the upcoming November on the occasion of the Asia-Pacific Economic Cooperation summit to be held in Vietnam’s central province of Da Nang.
During PM Phuc’s visit to the United State late in May, U.S. President Donald Trump confirmed that he will attend the event.
PM Phuc believed that President Trump and Secretary of State Rex Tillerson, ex-CEO of ExxonMobil, would be delightful when the project starts and American investors’ rights are guaranteed. The prime minister also pledged to facilitate Exxon’s investments in Vietnam.
For his part, Jon Gibbs noted that after a meeting with PM Phuc in June, the group’s executives have pushed up the preparation for the start of the project and the first gas flow is expected to come ashore by the end of 2023.
The majority of gas produced from the Blue Whale field will be consumed by power plants in the two central provinces of Quang Nam and Quang Ngai, VTV reported.  
The Blue Whale field has an estimated 150 billion cubic meters of reserves, making it the largest gas field in Vietnam.
In March this year, ExxonMobil Vietnam and state-owned energy firm Vietnam Oil and Gas Group (PetroVietnam) inked an agreement to jointly exploit gas in the Blue Whale field. The investment is reported to total around $10 billion.
PetroVietnam, Exxon Mobil's Vietnamese partner, has said the project would contribute nearly $20 billion to the state budget.
Exxon Mobil marked its return to Vietnam by establishing an exploration and exploitation unit in Vietnam that distributes lubricant and petrochemical products.

TUAN MINH

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