1. Oil and Gas Exploration & Production

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1. Oil and Gas Exploration & Production 1. Oil and gas exploration & production This is the core business of PVN, the current metres per year. By 2012, we are planning to achieve reserves are approximated of 1.4 billion cubic metres 20 million tons of oil and 15 billion cubic metres of of oil equivalent. In which, oil reserve is about 700 gas annually. million cubic metres and gas reserve is about 700 In this area, we are calling for foreign investment in million cubic metres of oil equivalent. PVN has both of our domestic blocks as well as oversea explored more than 300 million cubic metres of oil projects including: Blocks in Song Hong Basin, Phu and about 94 billion cubic metres of gas. Khanh Basin, Nam Con Son Basin, Malay Tho Chu, Until 2020, we are planning to increase oil and gas Phu Quoc Basin, Mekong Delta and overseas blocks reserves to 40-50 million cubic metres of oil in Malaysia, Uzbekistan, Laos, and Cambodia. equivalent per year; in which the domestic reserves The opportunities are described in detail on the increase to 30-35 million cubic metres per year and following pages. oversea reserves increase to 10-15 million cubic Overseas Oil and Gas Exploration and Production Projects RUSSIAN FEDERATION Rusvietpetro: A Joint Venture with Zarubezhneft Gazpromviet: A Joint Venture with Gazprom UZBEKISTAN ALGERIA Petroleum Contracts, Blocks Kossor, Molabaur Petroleum Contract, Study Agreement in Bukharakhiva Block 433a & 416b MONGOLIA Petroleum Contract, Block Tamtsaq CUBA Petroleum Contract, Blocks 31, 32, 42, 43 1. Oil and gas exploration & production e) LAO PDR Petroleum Contract, Block Champasak CAMBODIA 2. Gas Industry Petroleum Contract, Block XV VENEZUELA 3. Refineries & Petrochemicals Block Junin-2 4. Power generation PERU 5. Petroleum Professional & Technical Services Petroleum Contracts, Blocks 162, 39, 67 CONGO MALAYSIA Petroleum Contract, Petroleum Contract, Block P e) Block Marine XI Petroleum Contrac e) INDONESIA Petroleum Contract, Block Randugunting MYANMAR Petroleum Contract, Block M2 MADAGASCAR Petroleum Contrac e Propond) 1 2 Vietnam Petroleum Activities Block MVHN (Hanoi Trough) onshore of Song Hong Basin Block MVHN (Hanoi Trough) Area: 6,974 Sq. km Location : Onshore of Song Hong Basin Seismic: 8,000 line-km 2D Well : - 46 petroleum exploration wells - 15 Coal Bed Methane wells MVHN is a petroleum potential and CBM potential block. This is demonstrated by oil show and gas discoveries at the wells, 01 gas field is producing. Offshore close to the MVHN one gas field in block 102 is going to develop,. In block 106 has Ham Rong Oil field also going to develop. The Coal Bed Methane was found in blocks MVHN-01KT, 02KT and 03KT. Geological setting Ha Noi Trough is divided into the Central Belt sandwiched between the Song Chay and the Vinh Ninh fault zones, the NE Belt from Vinh Ninh fault zone passing through the Song Lo fault, and the SW Belt between the Red River fault and the Song Chay fault. The sedimentary section into two structural units. The lower structural unit is the paleo-basement consisting of Proterozoic to late Mesozoic strata. The upper one consist of Cenozoic sedimentary rocks that overlies unconformable on the older formations. The upper structures unit in MVHN with maximum thickness of 7km, has been formed in Eocene-Oligocene by extension activity. At the late of Oligocene, extension activity stoped, and subsidence process widely happened all over the area. From late of Middle to Late Miocene, there is a inversion tectonic phase and formed a series of reversed faults such as the Vinh Ninh fault, Tien Hai fault,... BLOCK MVHN - PETROLEUM SYSTEM Source Terrestrial and terrestrial/lacustrine Oligocene rock sediments; Promising Triasic shale (found in tidal zone of the area) Miocene Sst, Oligocene Sst, Devonian- Reservoir carboniferous-Permian Carbonate Regional seal: Upper Miocene-Pliocens Seal Further Information claystone; Local seal: Oligocene and Miocene Petrovietnam Claystones, fault seal Tel: 84-4-38252526 Fax: 84-4-38265942 Oligocene and Miocene anticlines; Pretertiary Trap Add: 18 Lang Ha Str. Ba Dinh District, Hanoi, Vietnam basement highs; stratigraphic trap; drape over Attn: Dr. Nguyen Quoc Thap - Vice President basement Cc : Dr. Phan Tien Vien - GM of Exploration Division 3 4 Block 104 – Song Hong Basin Investment Opportunity in Block 102/10 & 106/10 Block 104 – Song Hong Basin Petrovietnam Exploration Production Corporation Significant oil and gas resources with 987 Ltd., ("PVEP") is currently operating the prospective million barrels of oil and 1,176 billion cubic Exploration Block 102/10 & 106/10 ("Block"), feet of gas in place • Area : 7,500 Sq. km offshore Vietnam and is seeking a strategic partner Exploration history • Location : Offshore Northern part of Vietnam to participate in exploration of this Block by means During the period of 1989 - 2005, a total of 11,470 • Sea level: 0-50 m of farm out in the amount up to 66% of participating km 2D seismic was acquired in by various • Seismic : 5,016 line-km 2D companies namely Total, Idemitsu, PCOSB and • Well : 3 wells 1,125 km2 3D seismic acquired by PCOSB in the • Block 104 is thought as potention for commercial original Block 102 & 106. hydrocarbon withs many adjacent oil and gas Eight (8) exploration wells have been drilled in the discoveries as Ham Rong, Yen Tu, Hac Long, Dong original Block 102 & 106. Of these, 102-TB-1X well Fang... flowed 23-24 mmscf/d from Miocene sandstone; 106-HR-1X well flowed 4,859 bopd and 6 mmscf/d Geological setting and 106-HR-2X well flowed 3,401 bopd and 4.47 mmscf/d from pre-Tertiary carbonate basement • The block 104 lies over from the Thanh Nghe Monocline reservoir; meanwhile 102-CQ-1X, 102-HD-1X, 106- to the Central Trough of Song Hong Basin which is made YT-1X&2X, 106-HL-1X wells encountered good up of a techtonically stable sediment package. hydrocarbon shows during drilling. • A series of Miocene to present day buried structures of thin sedimentary cover (500-1,000 m thick) are encountered in this block Location of Block 102/10 & 106/10 PETROLEUM SYSTEMS interests within the Contract. Source Oil and gas prone Paleogen-Lower The Contract of Block was signed on October 07, 2011 rock Miocene lacustrine shales in center of and became effective on October 27, 2011. This block Song Hong Basin. Probably Middle encompasses an area of 10,000 sq.km and is located Seismic base map & well locations Miocene marine mudstone in center of in the prolific Song Hong basin. The Block is located Song Hong Basin. in water depths of c. 20 - 40 m and contains several Stratigraphic bodies onlapping on to drillable prospects namely Yen Tu, Sapa, Chi Linh. Reservoir the basement with moderate HC Key opportunity highlights potential, Pre-Tertiary basement. The Block is located in areas with favorable conditions, such as: gas-hungry Northern Local seal in Lower Miocene shales, part of Viet Nam, ... Seal Regional seal in Miocene-Pliocene shales. Pre-Tertiary basement highs, Block 102/10 & 106/10 located in an area drape over basement, stratigraphic surrounded by a proven and established traps hydrocarbon discoveries and fields in the vicinity i.e. Block 102 & 106 (Ham Rong, Thai Pre-Tertiary basement highs, drape Trap Binh under developed oil and gas fields) and over basement, stratigraphic traps Block 103 & 107 (Bach Long, Hac Long, Hong Long gas discoveries) 2D seismic line across Block 102/10 & 106/10 5 6 Process: Investment Opportunity in Block 101-100/04, Offshore Vietnam Following execution of a confidentiality agreement and necessary arrangement, interested parties will Petrovietnam Exploration Production Corporation in 2009 and 2011, with proven reserves of around be provided with access into physical data room in Ltd., (“PVEP”) is going to operate the Block 101- 30.2 Bcf gas and 4.7 MMbbls. The main objective is PVEP’s Office in Hanoi to review data and other 100/04 ("Block"), offshore Vietnam and is seeking a Tertiary clastics and Paleozoic carbonate. Several documentation. PVEP personnel will provide an strategic partner to participate in exploration of this discoveries have been made to the east of Block 101- overview presentation and will be available for Block by means of farm out in the amount up to 40% 100/04 in the Beibu Wan Basin. The largest field, of participating interests within the Contract. technical and commercial discussions. Wei 12-1 is estimated to have recoverable reserves in Contact the range of 85 – 100 MMBO with single well All comments or queries regarding the process or production rates of up to 34,000 BOPD. Within the the Opportunity should be addressed to the persons northern Song Hong Basin the most recent discovery was made at Yen Tu-1X and Ham Rong-1X whose contact details are below. No contact should in Middle Miocene sandstones and Paleozoic be made directly with any other employees of PVEP limestones. or related entities. Dr. Nguyen Tien Long - Vice President of PVEP Exploration history + Seismic database: Stratigraphy & Hydrocarbon system Tel: + 84 (4) 3772 6001 (Ext 7802) Fax: + 84 (4) 3772 6027 - 1991: China (CNOOC) drilled two wells In August 2012, PVEP has acquired 1,117 km2 3D Weizhou 1421 (Discovery) & 1422 (Dry) Email: [email protected] seismic data over the main structures in the Block - 2001: Border dispute between China &Vietnam 102/10 & 106/10. It is being processed at the resolved IMPORTANT NOTICE & DISCLAIMER moment. - 2005: 2D Seismic Acquisition by PIDC Location of 101-100/04 Block and nearby oil & gas fields Prospects This information is provided only to assist parties to determine if - 2007: PSC awarded to Santos they wish to continue to evaluate the asset. PVEP and their The contract of Block 101-100/04 PSC was signed on Twelve (12) most promising prospects have been respective affiliates, officers, directors, employees, and - 2007: 3D Seismic Acquisition & PSTM October, 2006.
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