Russia's Zarubezhneft eyes Vietnam offshore wind power projects

Russian oil-gas giant Zarubezhneft is looking to expand its operations in Vietnam to offshore wind power projects, general director Sergey Ivanovich Kudryashov told Prime Minister Pham Minh Chinh Monday.

He said Zarubezhneft was speeding up administrative procedures for new projects in Vietnam and offered suggestions to Vietnamese authorities on ways to boost the progress of some projects.

Russia would continue facilitating Russia-based projects of Rusvietpetro, a joint venture between Petrovietnam and Zarubezhneft, both state-owned oil-gas firms, Kudryashov added.

PM Chinh welcomed Zarubezhneft's interest in expanding its Vietnam operations, including offshore wind power projects.

He asked Zarubezhneft to work with Petrovietnam to highlight detailed suggestions for Vietnamese authorities to address various challenges in project implementation.

Chinh said Vietnam has always appreciated the support it has received from the former Soviet Union and now Russia, especially in the oil-gas sector. The Vietnamese government will further facilitate bilateral cooperation in oil-gas and renewable energy, he added.

Chinh also said that Vietnam highly respected its traditional friendship and the comprehensive strategic partnership with Russia.

Zarubezhneft is set to begin harvesting next year the 10.03 billion cubic meter Thien Nga-Hai Au gas field, 320 kilometers southeast off the southern province of Ba Ria-Vung Tau. Zarubezhneft EP Vietnam B.V., the Vietnamese subsidiary of Zarubezhneft, acquired rights to the gas field in June 2023.

Zarubezhneft will start exploiting the gas field starting with 149.6 million cubic meters in 2025 and receive first gas flows from Q4/2026. The exploitation is set to peak at about 620 million cubic meters annually in 2026-2033 and fall to 26.9 million cubic meters by 2047.

In July 2023, Vietsovpetro had said it planned to invest in several offshore wind power projects totaling 2,000 MW in the Mekong Delta province of Tra Vinh. The Vietnam-Russia joint venture wants to collaborate with Power Generation JSC 1 (EVNGENCO 1), a subsidiary of state utility Vietnam Electricity (EVN), in implementing the projects, representatives of both firms have informed Tra Vinh authorities.