State-owned Petrovietnam and Norway’s Equinor have signed an agreement on clean energy, extending their cooperation to hydrogen, ammonia, carbon capture and storage.
In a Friday announcement, Petrovietnam said the memorandum of understanding (MoU) is a continuation of the MoU signed between the two sides in 2021.
In addition to the contents of the 2021 edition such as offshore wind power and other renewable energy sources, the two will expand their ties as both understand the carbon capture and storage and production of hydrogen and ammonia will play a key role in Vietnam’s energy transition and carbon reduction.
Speaking at the event, Norwegian Ambassador to Vietnam Hilde Solbaken said the cooperation between Petrovietnam and Equinor will bolster Vietnam-Norway efforts towards net-zero emissions. The two governments have set ambitious goals to reduce greenhouse gas emissions and transition to renewable energy, with offshore wind power, hydrogen, ammonia, and carbon capture and storage among the key solutions.
Le Manh Hung, president and CEO of Petrovietnam, said the two energy giants have reaped fruitful results from the MoU signed in 2021, and the extended cooperation is a milestone for both sides in low-carbon energy solutions.
In May 2022, Equinor established its representative office in Hanoi, seeking to partner with Petrovietnam to develop wind power projects across the country. The move marked "an important milestone" in the Norway-Vietnam business cooperation portfolio.
In August 2022, Anita Holgersen, Equinor country representative for Vietnam, and Petrovietnam general director Le Manh Hung had a meeting in Hanoi, with discussions focusing on developing offshore wind farms, producing hydrogen and ammonia, and capturing and storing carbon. Hung proposed Equinor work with Petrovietnam subsidiaries and affiliates like PTSC and Vietsovpetro on such projects in Vietnam and elsewhere.
Equinor is currently a leader in energy transition, having presence in 33 countries. Aside from being a world pioneer in floating offshore wind, the heavyweight has many major bottom fixed projects globally, including 3.3-gigawatt offshore wind in the U.S, 3.6 GW in the UK, and large projects in Poland.