Vietnam PM backs expanded energy cooperation with Russia's Zarubezhneft

Vietnamese Prime Minister Le Minh Hung met with Sergei Kudryashov, CEO of Russian state oil company Zarubezhneft, on Wednesday and expressed support for expanding bilateral cooperation in oil and gas, offshore wind power and other energy projects.

The meeting took place on the sidelines of the ASEAN-Russia Summit commemorating the 35th anniversary of diplomatic relations between the two sides in Kazan, the capital of Russia's Republic of Tatarstan.

Zarubezhneft has worked with state-owned Petrovietnam for more than four decades through two joint ventures, Vietsovpetro in Vietnam and Rusvietpetro in Russia, focusing on oil and gas exploration and production.

PM Hung praised Zarubezhneft's contribution to energy cooperation between the two countries and reaffirmed that collaboration with Russia remains a priority in Vietnam's energy strategy.

He voiced support for the company to study additional investments and sign new oil and gas contracts for open offshore blocks in Vietnam, provided projects ensure commercial viability, balance the interests of stakeholders, and comply with Vietnamese law. He also encouraged the company to explore opportunities for joint projects in third countries.

The cabinet leader called on Petrovietnam and Zarubezhneft to effectively implement amended intergovernmental agreements governing Vietsovpetro and Rusvietpetro, as well as agreements expanding geological exploration and hydrocarbon production activities on Vietnam's continental shelf and in Russia.

Hung urged Zarubezhneft to consider long-term and stable commercial cooperation with Vietnamese energy companies to strengthen Vietnam's energy security and support economic development.

He encouraged closer collaboration with Petrovietnam and Vietsovpetro to accelerate proposals for establishing wind power equipment manufacturing facilities and developing an offshore wind supply chain in Vietnam.

The prime minister asked Zarubezhneft to expand the operations of Rusvietpetro in Russia by enlarging its production areas and acquiring additional oil and gas fields to maximise the use of existing infrastructure, technology and personnel.

Kudryashov said he welcomed the Vietnamese government's support and Zarubezhneft would continue working closely with its Vietnamese partners to implement the strategic directions discussed during the meeting.

He updated PM Hung on the performance of the company's projects in both Vietnam and Russia and outlined its future development plans.

The CEO said Zarubezhneft would continue implementing agreements signed during the May 2025 visit to Russia by Vietnam's Party chief and President To Lam. He added that the company is currently the largest Russian supplier of coal to the Vietnamese market.

Highlighting the significant potential for further cooperation, Kudryashov proposed expanding collaboration into offshore wind power, renewable energy and joint projects in third countries, particularly in markets where Vietnam has established a strong reputation.

PM Hung reaffirmed that the Vietnamese government would continue creating favorable conditions for Zarubezhneft and other Russian energy companies to operate and invest effectively in the country.