Petrovietnam leads state-owned enterprises in terms of profits from foreign investment projects

(VOVWORLD) - Vietnam raked in 1.9 billion USD in profits from foreign investment projects last year. Notably, the Vietnam Oil and Gas Group (Petrovietnam) stands out as the leading entity, with repatriated profits exceeding 1.1 billion USD.

Petrovietnam leads state-owned enterprises in terms of profits from foreign investment projects - ảnh 1Petrovietnam President and CEO Le Manh Hung visits the Rusvietpetro oil field. (Photo courtesy of Petrovietnam)

Minister of Finance Ho Duc Phoc has recently presented a report to the National Assembly, detailing the status of investment, management, and utilization of state capital in enterprises nationwide in 2022.

Ending December 2022, a total of 30 Vietnamese state-owned enterprises, including companies with state capital, invested more than 6.6 billion USD in foreign ventures. Petrovietnam led the pack, contributing 4 billion USD, or 60.8% of the total.

On the repatriation front, 72 foreign projects from 16 enterprises brought in over 4 billion USD. Petrovietnam spearheaded the recoveries, reclaiming 2.9 billion USD, equivalent to 71.1% of the total. This includes profits of 1.1 billion USD, with the remainder from principal, interest, and other sources.

Evaluating the production and business results of overseas investment projects, the Government Report highlighted multiple projects showing positive changes in revenue. However, profits have declined due to ineffective cost management. Notably, the 04 Block oil and gas exploration and exploitation project in Nhenhexky (Russia) operated by Petrovietnam has been identified as one of the few projects achieving high efficiency, significant revenue, and capital recovery surpassing the investment amount.

It is worth noting that the Rusvietpetro joint venture between Petrovietnam and Zarubezhneft is conducting search, exploration, development, and exploitation activities in 13 oil fields across 04 blocks in the Nhenhexky autonomous region. The project boasts geological reserves of about 244 million tons and oil recovery reserves of about 96 million tons. Since its establishment in 2008, Rusvietpetro has achieved commendable results, solidifying its position as one of Petrovietnam's most effective joint ventures abroad.

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