VIETNAM OIL AND GAS INDUSTRY

The world oil and gas industry will continue to grow steadily in 2018, with demand growth expected to rise slightly to around 98.4 million barrels a day while gas demand is expected to grow faster. Gas demand is predicted to grow at an average annual rate of 2.1% per year in the period 2018-2020. World oil supplies have increased by nearly 0.87 million barrels per day to about 98.85 million barrels a day in the third quarter of 2018. In 2017, the ouput of global natural gas reached 3,680.4 thousand blocks, up 3.68% compared to 2016.

Oil and gas are exploited mainly from the continental shelf and contribute to the supply of energy and fuel for the country’s economic development, increasing export turnover. Oil and gas industry in Vietnam today still put export exploitation as the main force, so it depends heavily on world oil prices.

Oil and gas industry is an industry consisting of many stages not only exploring and exploiting but also processing from crude oil to refined oil. As usual, the oil and gas industry is divided into three categories of activities called upstream, midstream, and downstream.

In the first 9 months of 2018, the whole petroleum industry exploited nearly 9.04 million tons of oil, decrease 11.7% over the same period. The output of natural gas reached 7.4 million m3, an increase of 1.7% compared to the same period of 2017 despite limited supply and large exploitation costs while gas prices remained relatively low.

According to preliminary data from the General Department of Customs, in the first 9 months of 2018, crude oil exports reached 1.65 million tons, down 46.3%, export turnover reached 1.65 billion USD, down 25.4% compared to the same period in 2016.

The output of crude oil in Vietnam is estimated at about 2,978.5 thousand tons, worth about US $ 1,559 million, up 186.2% in volume and 282.1% in value over the same period in 2017.

Regarding gas, the export of natural gas in Vietnam in the first 9 months of 2018 reached 181.2 million USD, up 1.97% compared to the previous year. Vietnam is gradually losing its ability to secure natural gas supply throughout the country due to the decline in gas reserves in existing mines.

In 2017, the group of oil and gas enterprises has positive growth in net revenue compared to 2015. The domestic oil and gas industry is strongly affected by the world oil and gas market; oil prices have decreased but the cost of exploitation is higher than oil sales.

In the coming time, cutting crude oil production by OPEC lead to the upward trend in crude oil prices. That will have a strong impact on the domestic petroleum market; in which, the oil and gas exploitation of Vietnam is evaluated to be stable again. 

Abbreviations
Executive summary 
1. Business environment 
1.1 Macroeconomic context 
1.2 Legal barriers 
1.3 Trade agreement impact 
2. Global market
2.1 Crude oil  
2.2 Natural gas 
2.3 Current situation in typical countries 
2.4 Big companies in oil and gas industry
3. Viet Nam oil and gas industry 
3.1 Definition and classification 
3.2 History of establishment
3.3 Value chain 
3.4 Industry status
4. Industry Risk
4.1 Industry Risk
4.2 SWOT analysis
5. Prospects, projects and forecasts
5.1 Projects
5.2 Forecasts
6. Enterprise analysis
6.1 Enterprise introduction
6.2 Financial analysis
Financial Statements Appendix

Petrolimex
PV Gas
Binh Son Petrochemical Limited Company
PV Oil
PV Drilling

 

Figure 1: GDP growth rate by quarter, 2015-2018
Figure 2: GDP at current prices and GDP per capita, 2013- T9/2018
Figure 3: PVN’s contribution to GDP, 2008-2015
Figure 4: PVN contribution to GDP, 2008 – 2016
Figure 5: Contribution of crude oil in state budget, 2008 – 9T/2018
Figure 6: Structure of import and export of crude oil in total import-export turnover of Vietnam, 2010 – 9T / 2018
Figure 7: Contribution of FDI to import / export, 9T / 2018
Figure 8: Most exported goods, M9/2018
Figure 9: Vietnam’s export structure, M9/2018
Figure 10: Total proved oil reserves, 2017
Figure 11: Top 10 nations with largest oil reserves, 2017
Figure 12: World’s oil rigs, 2014 – 9M/2018
Figure 13: World’s rig structure by region, 9M/2018
Figure 14: United State’ oil rigs, 2014 –9M/2018
Figure 15: World’s oil supply, 2016-9M/2018
Figure 16: 9M/2018 oil supply by region
Figure 17: OPEC members’ crude oil production, 2013 – Q3/2018
Figure 18: OPEC oil manufacturing structure, 9M/2018
Figure 19: World’s oil demand, 2013 .2018
Figure 20: Oil consumption per capita, 2017
Figure 21: Oil consumption by region, 2016
Figure 22: Oil consumption by region, 2017
Figure 23: Top 10 oil consumers country 2017
Figure 24: Oil consumption by products, 2006-2016
Figure 25: Import volume of crude oil, 2012 – 2017
Figure 26: Import structure of crude oil, 2017
Figure 27: Crude oil export volume, 2012 – 2017
Figure 28: Structure of world crude oil export by output, 2017
Figure 29: Global crude oil prices history,1861 –2017
Figure 30: Top 10 countries with the largest natural gas reserves in the world, 2016,
Figure 31: Natural gas output1970 – 2017
Figure 32: Natural gas output by region, 2017
Figure 33: Leading countries on natural gas production, 2017
Figure 34: Natural gas consumption output 2006 – 2017
Figure 35: Natural gas consumption, 2006-2016
Figure 36: Naturagal gas consumption by region, 2017
Figure 37: Consumption of natural gas per capita, 2017
Figure 38: Top 10 natural gas consumers, 2017
Figure 39: Natural applications by field, 2016
Figure 40: Pipelines by region. 2017
Figure 41: Natural gas exports, 2016 – 2017
Figure 42: The global gas trade, 2016
Figure 43: Top 10 oil & gas exporter via pipeline, 2016
Figure 44: Top 10 LNG exporters, 2016
Figure 45: Top 10 oil & gas importers via pipeline, 2016
Figure 46: Top 10 LNG importers, 2016
Figure 47: Global natural gas movements, 2012-2017
Figure 48: The US’s rude oil output, 2007-/2017
Figure 49: US natural gas output, 2007 – 2017
Figure 50: US crude oil export trade, 2016 – 2017
Figure 51: US Natural Gas Trade Balance, 2016 – 2017
Figure 52: China net crude oil import, 6/2016 – 2/2018
Figure 53: Top 10 oil producers, 2017
Figure 54: Top 10 natural gas producers, 2017
Figure 55: Vietnam gas and oil reserves, 2010-2016
Figure 56: Vietnam oil and gas reserves, 2010 – 2016
Figure 57: Number of mines put into operation each 5-year cycle,
1981 – 2015
Figure 58: Number of oil and gas enterprises in  Viet Nam 2010 – 2016
Figure 59: Viet Nam crude oil production output 2010 – 9M/2018
Figure 60: Vietnam natural gas production capacity , 2010 – 9M/2018
Figure 61: Natural gas production structure by mine
9T/2018
Figure 62: Vietnam crude on consumption, 2010 – 9M/2018
Figure 63: Vietnam natural gas consumption, 2010 – 9M/2018
Figure 64: Vietnam crude oil exports, 2010 – 9T/2018
Figure 65: Structure of export market of crude oil by output, 9M/2018
Figure 66: Average crude oil export price in markets, 9M/2018
Figure 67: Vietnam crude oil imports, 2010 – 9T/2018
Figure 68: Market structure of imported crude oil by output,  Q1/2018
Figure 69: Vietnam naturagal gas exports by country, 9M/2018
Figure 70: Vietnam naturagal gas exports by country, 9M/2018
Figure 71: Top 10 largest natural gas exporters, 9M/2018
Figure 72: Top 10 largest natural gas importes, 9M/2018
Figure 73: Vietnam natural gas imports, 2010 – 9M/2018
Figure 74: Top 10 largest natural gas importer 9M/2018
Figure 75: Market structure of imported natural gas by volume, 9M/2018
Figure 76: Petroleum production, 2009-9M/2018
Figure 77: Petroleum consumption, 2010 – 6M/2017
Figure 78: Petroleum sonsumption per capita in the region as of 8M/2016
Figure 79: Structure of fuel demand, 2016
Figure 80: Petrol exports,2010 – Q1/2018
Figure 81: Structure of export market of petroleum by value, 9M 2018
Figure 82: Petroleum imports, 2010 – 9M/2018
Figure 83: Structure of import market of petroleum 9M 2018
Figure 84: Demestic petrol price movements,, 2015 – 9M/2018
Figure 85: Petrol price adjustment, 9T/2018
Figure 86: Average gasoline price in some countries, 9/2018
Figure 87: Structure of the tax rate per liter of petroleum 2016-2018
Figure 88: Oil market structure 2017
Figure 89: Petrolimex revenue by forms of distribution, 2016
Figure 90: production output LPG, 2009 – 9T/2018
Figure 91: LPG consumption, 2009 – 2017
Figure 92: LPG consumption, 2009 – 2017
Figure 93: LPG import LPG, 2009 – Q1/2018
Figure 94: Structure of LPG import market, 9T/2018
Figure 95: LPG retailer market, 2016
Figure 96: Group structure by revenue, 2015
Figure 97:Vietnam polypropilen production output, 2010 – 9T/2018
Figure 98: Demand for investment by region, 2016-2025
Figure 99: Demand for investment by region, 2016-2025
Figure 100: Balance of supply and demand, 2017 – 2018
Figure 101: World naturagal gas consumption 2016 – 2040
Figure 102: Increase natural gas production by group of countries, 2016 – 2040
Figure 103: Forecast supply-demand for Vietnam oil, 2014 – 2025
Figure 104: Forecast supply-demand for Vietnam gas , 2014 – 2020
Figure 105: Doanh thu của PVN, 2010 – 2016
Figure 106: Petrolimex revenue, 2011 – 2016
Figure 107: Net revenue growth, 2016-2017
Figure 108: Debt repayment capacity of enterprises 2017
Figure 109: Enterprises solvency, 2017
Figure 110: Turnover receivable ratio, 2017
Figure 111: Total asset turover ratio, 2017
Figure 112: Rate of return, 2017

Table 1: Tax Rate by Exploitation quantity
Table 2: Tax Rate of some goods
Table 3: Tax rate (%) of some goods
Table 4: PREFERENTIAL IMPORT TAX RATES APPLICABLE TO 97 CHAPTERS BY VIETNAM LIST OF IMPORT GOODS
Table 5: STIPULATION ON CODE AND PREFERNTIAL IMPORT TAX RATES APPLICABLE TO SPECIFIC GROUPS OF COMMODITY GOODS
Table 6: Classificaion, characteristics and application of products
Table 7: Crude oil export turnover, 2017
Table 8: Crude oil import turnover, 2017
Table 9: Methods of searching, exploring gas and oil
Table 10: Methods of transporting crude oil
Table 11: Gas pipelines
Table 12: The supply and demand balance of Vietnam’s petroleum market will average from 2018 to 2022
Table 13: Scale of 5 units leading the petrol market in 2017
Table 14: Total capacity by store level
Table 15: Petrochemicals of some groups
Table 16: Main gas infrastruture projects
Table 17: LNG import projects
Table 18: LPG storage system
Table 19: PVN explotation projects 2018