An oil rig in the Cuu Long Basin.
Vietnam Oil Corporation (PVOIL) recently held a signing ceremony for the oil sales agreement of Blocks 01&02 and 01/97&02/97 between the two project management boards and PVOIL, witnessed by leaders of Vietnam Oil and Gas Group (Petrovietnam).
The 01&02 Block project, located in the Cuu Long Basin off Vietnam’s continental shelf, is approximately 155 km southeast of Vung Tau. Block 01/97&02/97 covers an area of about 130 km² in the northeastern part of the Cuu Long Basin, also off Vietnam’s continental shelf, roughly 160 km east of Vung Tau. The water depth ranges from 60 to 70 meters.
These oil fields have a long history of production, significantly contributing to Vietnam’s energy security. In 1991, the Petroleum Exploration and Production Corporation (PVEP) and Petronas Carigali signed the petroleum contract for Blocks 01&02, and in 2003, PVEP and PC Vietnam Limited signed the petroleum contract for Blocks 01/97&02/97.
After foreign partners withdrew from the project in 2017, Petrovietnam signed a temporary contract with PVEP to operate petroleum activities in these two blocks from September 2017 until the end of 2023. As of January 1, 2024, the Group has directly managed the petroleum operations of these two projects.
The Ruby oil rig.
Notably, the project boasts a 100% Vietnamese workforce. Throughout their development, both projects have faced numerous challenges but have consistently excelled in meeting their assigned targets.
From 2022 to 2025, the 01&02 Block project maintained stable and efficient operations with an uptime exceeding 98% and absolute safety. It consistently surpassed production targets by 109-112% of the annual plans set by Petrovietnam.
Meanwhile, oil production at the Thang Long – Dong Do fields under the 01/97&02/97 petroleum contract currently ranges from 2,800 to 3,300 barrels per day (compared to a design capacity of 18,000-20,000 barrels per day).
As of September 2025, after 34 years of production, the 01&02 Block project has sold 401 shipments totaling 18.6 million tons, valued at $8.7 billion. The 01/97&02/97 Block project, after 22 years, has sold 94 shipments totaling 2.9 million tons, valued at $1.4 billion. Together, these projects have generated a total sales value of $10.1 billion.
As the oil sales agent, PVOIL has consistently supported the management boards, ensuring the safe, efficient, and professional sale of Ruby oil across over 400 shipments. PVOIL is recognized not only as a downstream distributor but also as a key contributor to enhancing the value of upstream activities (E&P).
Mr. Le Manh Cuong, Deputy General Director of Petrovietnam, stated that under the Group’s new, expanded E&P policy, the 01&02 and 01/97&02/97 Block projects will be assigned to new contractors/consortia, with Vietsovpetro and PVEP as operators. This aims to further develop the projects’ potential, increase production, and achieve greater efficiency in the future.
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