Vietnam PM urges Mitsui to accelerate gas project, consider offshore wind energy generation

Prime Minister Pham Minh Chinh has asked Japanese conglomerate Mitsui & Co. to expedite implementation of the long-delayed Block B gas power project offshore Vietnam as the country strives to ensure energy security.

Given the importance of the project to Vietnam’s socio-economic development, Mitsui and its offshoot Mitsui Oil Exploration Co., Ltd. (MOECO) need to work with state-run Petrovietnam to speed up its deployment, aiming to tap the first gas streams by December 31, 2025, Chinh said.

He was speaking during a Wednesday meeting in Hanoi with Mitsui chairman Tatsuo Yasunaga.

Located off southwest Vietnam, Block B is the country’s second-largest upstream gas project after Ca Voi Xanh (Blue Whale). Its shareholders are Petrovietnam, Petrovietnam Exploration & Production, Japan’s Mitsui Oil Exploration (MOECO), and Thailand’s PTT Exploration and Production Public Company (PTTEP).

For deploying the $12 billion Block B-O Mon gas-to-power project, three subsidiaries of MOECO signed loan agreements for $415 million in July with Japan Bank for International Cooperation (JBIC).

PM Chinh also suggested that Mitsui expands its operations to other fields in Vietnam, including wind turbine production and offshore wind energy development.

Yasunaga said Mitsui has invested in 22 projects worth a combined $1 billion in Vietnam, focusing on mining, energy, equipment and textiles. Its flagship investment was the Block B gas-electricity project worth over $700 million, he noted.

Pledging to work with other partners to expedite work on the project, Yasunaga called for continued support from Vietnamese authorities.

He also asked for the Vietnamese government’s endorsement to expand Mitsui's operations to farming, processing and export of aquatic products; pelletized wood production and export; and human resource training.

PM Chinh backed Mitsui’s expansion in Vietnam into aquaculture, including shrimp farming and shrimp feed production. He said other investment areas with potential included infrastructure, chemicals, minerals, steel, ICT, food and retail, garment and textile, and transportation.

He called on the Japanese conglomerate to boost technology transfer and share management expertise, helping Vietnamese companies deepen their participation in regional and global supply chains.

During this visit, Yasunaga met with Vietnamese partners such as Tasco Auto, in which Mitsui has become a strategic partner; Minh Phu Seafood Corporation; and Hanoi University of Science and Technology for workforce development.