On the evening of March 31, the Vietnam Oil and Gas Group (PetroVietnam), together with its contractor consortium - the PetroVietnam Exploration Production Corporation (PVEP) and Japan Vietnam Petroleum Company (JVPC) - officially signed a new Production Sharing Contract (PSC) for Block 15-2 in the Cuu Long Basin.

At the signing ceremony, Deputy Prime Minister and Minister of Foreign Affairs Bui Thanh Son congratulated PetroVietnam, the consortium, and its partners on reaching this important milestone in energy cooperation.

Deputy Prime Minister Bui Thanh Son highly praised Vietnam’s partnerships with international oil and gas firms, especially those with strong capabilities such as Japan, not only for exploration and production but also for technology transfer and experience sharing.

He noted that such cooperation strengthens Vietnam’s position in the regional and global oil and gas map, while contributing significantly to the country’s ongoing industrialization and modernization efforts.

He urged that once the PSC for Block 15-2 takes effect, the contractors must swiftly and efficiently implement the agreement, strictly complying with regulations and commitments to maximize production output and recovery efficiency. This is seen as a vital task contributing to national development in a new era.

Commending JVPC and PVEP for their 25 years of partnership, the Deputy Prime Minister affirmed that the collaboration between PetroVietnam and Japanese partners will continue to be a key driver in the comprehensive strategic partnership between Vietnam and Japan.

He also called on relevant ministries and PetroVietnam to closely coordinate in proposing new mechanisms and policies to facilitate investment, promptly resolving challenges in the spirit of shared interests and shared risks, ensuring legitimate benefits for all parties involved and for both nations.

Deputy Minister of Industry and Trade Nguyen Hoang Long stated that the previous PSC for Block 15-2, signed on October 6, 1992, with Japan Vietnam Petroleum Co., Ltd., is set to expire on April 6, 2025. So far, commercial oil and gas reserves have been confirmed at two fields: Rang Dong and Phuong Dong.

As of the end of February 2024, the total revenue from Block 15-2 had reached USD 15 billion, with the Vietnamese government's share amounting to approximately USD 7.87 billion, including taxes and profit oil.

“The PSC for Block 15-2 stands out as one of PetroVietnam’s most successful oil and gas contracts, contributing significantly to the broader economic and strategic partnership between Vietnam and Japan,” said Deputy Minister Long.

He emphasized that the signing of the new PSC and the Ministry of Industry and Trade’s issuance of investment registration certificates to involved parties are necessary steps to realize the directives of the Party, State, and Government.

The new PSC, signed with JVPC and PVEP, leverages existing infrastructure and an experienced workforce, optimizes remaining petroleum resources, and aligns with the government’s double-digit growth ambitions from 2025 onward. It also strengthens economic cooperation - an important pillar in the Vietnam–Japan comprehensive strategic partnership.

Moreover, continued operations in Block 15-2 and other activities on Vietnam’s continental shelf reaffirm the country’s sovereignty, sovereign rights, and jurisdiction in the East Sea.

Looking ahead, the Ministry of Industry and Trade will support oil and gas activities at Block 15-2 in accordance with Vietnamese law and international practices, ensuring the legal rights and tangible benefits of investors and the nation.

Le Ngoc Son, General Director of PetroVietnam, shared that under Article 40 of the Petroleum Law 2022, the contractor consortium proposed the signing of a new PSC for Block 15-2.

The contract will take effect on April 7, 2025, with a commitment to continuing exploration and applying advanced technologies to optimize resource use in line with Vietnam’s needs.

This PSC is the first to implement the new regulations under the 2022 Petroleum Law. According to Son, the signing confirms the soundness of Vietnam’s investment incentives in offshore exploration and production - particularly in resource optimization - and enhances foreign contractors’ confidence in continuing their operations in Vietnam.

The contract ensures continuity and operational stability in Block 15-2, maximizing national revenue, securing energy supply, and supporting sustainable development, Son added.

Block 15-2 covers approximately 415.9 km² off the southeastern coast of Vietnam, in the central and northeastern part of the Cuu Long Basin. It includes two major commercial fields: Rang Dong and Phuong Dong, located at water depths of 57–60 meters.

The area represents the remainder of the previous contract, which the parties returned in compliance with exploration phase requirements, and is now part of the newly developed PSC.

Tam An