The market situation in April 2025 was complex due to geopolitical conflicts, US countervailing duties, and a decline in the global PMI index to below 50 points, affecting the global economy. Oil prices plunged by about 25%, fluctuating around $65–67 per barrel. These fluctuations directly impacted the production and business operations of Petrovietnam.
ENSURE OPERATIONAL EFFECTIVENESS IN THE FACE OF INCREASING CHALLENGES
Despite these challenges, Petrovietnam maintained its production and business efficiency in April and the first four months of 2025. As of the end of April, most of the Group’s main production targets were met and exceeded by 3.8 – 19.5% compared to the plan, with some targets showing growth of 13 – 66% over the same period in the first four months of 2024. Notable achievements include: Crude oil extraction reached 3.16 million tons, exceeding the four-month plan by 12.8%; Extraction of other gases reached 1.98 billion cubic meters, exceeding the plan by 10.4%; Power generation reached 11.06 billion kWh, exceeding the plan by 9.9%; Production of gasoline (including output from NSRP) reached 5.39 million tons, exceeding the plan by 12.7%; Production of NPK fertilizer reached 187,300 tons, exceeding the plan by 19.5%.
As a result, Petrovietnam ensured stable revenue growth and contributions to the state budget compared to the same period in 2024. In the first four months, Petrovietnam achieved revenues of 323.3 thousand billion VND and contributed 45.6 thousand billion VND to the state budget. Investment activities also grew during this period, with realized investment values reaching 10,230 billion VND, a 22.5% increase compared to the previous year.
Notably, the Dai Hung Field Development Project Phase 3 was completed 20 days ahead of schedule, thanks to the efforts of a dedicated team of Vietnamese professionals within the Petrovietnam ecosystem. This project plays a crucial role in increasing output and providing essential raw materials for electricity production during the current dry season, especially for the Nhon Trach 3 and 4 power plants, which are about to become operational. This achievement also holds significant value as it coincides with the 50th anniversary of the Group’s establishment.
Building on the success of the Dai Hung project, Petrovietnam aims to bring one new project into commercial operation each month from now until the end of the year. This strategy aligns with the Group’s sustainable development goals for 2025, emphasizing the integration of investment, production, and market expansion.
The Group’s fertilizer production sector is another bright spot, with results surpassing the set targets. The two fertilizer plants not only ensure domestic supply but also focus on export growth. Ca Mau Fertilizer (PVCFC) has recently been granted a certificate by Australia, recognizing it as meeting the highest standards for fertilizer exports to this market, thus expanding its international market share.
The Gas-Power block has been operating continuously, safely, and efficiently. Vietnam Gas Industry Corporation (PV GAS) has proposed to take the lead in importing LNG from the US, anticipating market trends and ensuring medium and long-term raw material sources. The Refinery-Petrochemical block focuses on inventory control, cost reduction, and the development of green product lines, leveraging the strengths of the block’s linkage. The Service block remains a critical pillar, closely following the management plan and accelerating the progress of wind power projects, drilling services, and transportation. Operations on construction sites/factories/drilling rigs are ensured to be safe and smooth, without any incidents. The Group maintains stable, safe, and continuous production and business activities during the long holiday season, ensuring the supply of essential products for socio-economic development.
In addition to domestic production, Petrovietnam has actively expanded its scope through international cooperation: Signing the extension of the Petroleum Contract (PSC) in Lot PM3 CAA with Petronas for another 20 years; Signing a cooperation agreement with the National Oil and Gas Company of Kazakhstan in the fields of oil and gas exploration and energy in this country;…
At the same time, Petrovietnam has proactively expanded domestic cooperation with leading state-owned and private corporations and enterprises (Viettel, Vinachem, ACV, TKV, Hoa Phat…) following the direction of the Prime Minister and Resolution 68 on private economic development. These collaborations affirm the Group’s pioneering and leading role.
KEY STRATEGIES: PROACTIVE MARKET ENGAGEMENT AND ACCELERATED INVESTMENT
Amid the increasingly unpredictable global market due to geopolitical conflicts, fluctuations in raw material prices, trade protectionism, and US countervailing duties, Mr. Le Ngoc Son, General Director of Petrovietnam, emphasized: “The pressure on the plan for May and the second quarter of 2025 is enormous. It requires units to proactively manage fluctuations and find new drivers, implementing comprehensive solutions in production, investment, market, and digital transformation to achieve the financial targets assigned by the Ministry of Finance.”
Moving forward, Petrovietnam plans to enhance operational efficiency at its plants, optimize assets, reduce costs, increase output, and expand its market reach. To boost revenue, the Group will increase output and expand external services and new services in the commercial sector, especially in PV GAS, PVOIL, and BSR, with a well-defined management plan to ensure revenue and profit.
To meet the country’s energy demands, Petrovietnam’s power plants will coordinate with A0 to ensure a stable supply of electricity during the current and upcoming peak seasons. This involves securing sources of gas and coal, optimizing heat rates, and streamlining costs and cash flow.
The Group aims to expedite the progress of key projects such as Lot B, Blue Whale, BK-24, White Stingray, Nhon Trach 3 and 4… striving to complete them ahead of schedule, while also implementing cost-saving and anti-waste measures.
Additionally, Petrovietnam continues to expand its market reach by reviewing cooperation with state-owned corporations and private sector companies. This approach aligns with Resolution 68 and the government’s directives, aiming to expand opportunities, increase revenue, and improve profitability.
The Group remains committed to accelerating digital transformation and diligently implementing the ERP project, completing the database for modern governance.
Is China’s Ure Exports a Concern? How Will It Impact Fertilizer Prices?
“The recent announcement of China’s plans to resume exports of urea and phosphate through Q3 2025 could temporarily ease global fertilizer prices. With China’s selling prices currently lower than the global urea prices, this development may bring some short-term relief to the market.”
The Big Spend: Why Businesses Fork Out Big Bucks to Own Schools
The Ho Chi Minh City Hung Vuong University is set to become a subsidiary of Dang Thanh Tam’s Kinh Bac City Development Corporation ecosystem. The esteemed university is the latest addition to the growing list of educational institutions being acquired by corporations. With tuition fees proving to be a lucrative investment, it’s no surprise that conglomerates are forking out billions to get a slice of the pie.
Unlocking Educational and Healthcare Excellence: A New Vision by the Politburo.
“Vietnam’s Prime Minister Pham Minh Chinh emphasized that the two new resolutions do not supersede but further elaborate on the resolutions of the Central Committee, Politburo, Party Secretariat, and the Government. This clarification underscores the government’s commitment to providing detailed guidance and ensuring alignment with existing policies.”
The Unstoppable Growth of FPT: Breaking Through with a 20% Surge
In the first four months of the year, the company’s net profit after tax attributable to shareholders (net profit) rose 18% to VND 2,897 billion.
“PJICO Insurance: Leadership Transition – New Opportunities”
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The Chairman of the Board of Directors has taken on the additional role of legal representative, while the President and Vice President of PJICO have both stepped down from their respective positions simultaneously.
