Dai Hung phase 3: The bravery of Petrovietnam workers

Lãnh đạo Chính phủ, Petrovietnam, PVEP, PVEP POC thực hiện nghi thức đón dòng dầu thương mại đầu tiên từ dự án phát triển mỏ Đại Hùng giai đoạn 3

Leaders of the Government, Petrovietnam , PVEP, PVEP POC performed the ceremony to welcome the first commercial oil flow from the Dai Hung field development project phase 3.

Attending this important event of Petrovietnam were Deputy Prime Minister, Minister of Foreign Affairs Bui Thanh Son and representatives of the Government Office , Ministry of Finance, and Ministry of Industry and Trade.

Self-reliance to reach out, affirming the position of Vietnamese managers

At the Ceremony, on behalf of the Government leaders, Deputy Prime Minister Bui Thanh Son emphasized that the success of the Dai Hung Mine Development Project Phase 3 in particular and the Dai Hung Mine Project in general has made a very important contribution, affirming the self-reliance, confidence and self-reliance of the Vietnamese people and of Petrovietnam to join the country in entering a new era.

Looking back at history, in 2003, Petrovietnam took over the Dai Hung mine from the International Contractors Consortium after these units assessed that the mine was not economically efficient. At that time, the mine's book value was only 1 USD. However, with strategic vision, pioneering spirit and determination to be self-reliant, Petrovietnam has turned Dai Hung mine into a symbol of revival and sustainable development, of which the Dai Hung mine development project phase 3 welcoming the first commercial oil flow is a clear demonstration, thereby affirming Petrovietnam's solid position in the Vietnamese energy industry.

To continue operating the Dai Hung mine, in October 2003, at the request of Petrovietnam, the Government decided to assign the right to directly conduct oil and gas operations at Dai Hung mine to the Petrovietnam Exploration and Production Corporation (PVEP) with the responsibility of operating the mine safely and with the highest efficiency. And the operator is Dai Hung Petroleum Company, the predecessor of the Domestic Oil and Gas Operations Branch (PVEP-POC) - a member unit of PVEP.

Đại Hùng giai đoạn 3: Bản lĩnh của người lao động Petrovietnam

Deputy Prime Minister Bui Thanh Son spoke at the ceremony.

In the early stages, PVEP-POC encountered many difficulties when taking over Dai Hung mine due to the characteristics of the mine as well as the time when oil prices were only over 10 USD/barrel, so they almost only exploited to hold on, even at times intending to stop operations.

However, with no way out, PVEP-POC urgently implemented activities such as drilling new exploration and appraisal wells, completing existing wells, and resuming Dai Hung mine exploitation from the beginning of 2005 with significantly increased production output after connecting new exploitation wells.

Along with the cost optimization process, the staff quickly matured and gradually replaced foreign experts, helping to reduce costs. The work of promoting initiatives and inventions was promoted to help optimize operations, maintenance, reduce product costs and especially the oil price gradually recovered, so the exploitation was effective.

Recently, the average annual production of Dai Hung mine is about 2.6-2.8 million barrels of oil. By the end of 2024, the revenue will reach over 4 billion USD, contributing over 600 million USD to the State budget, actively contributing to the discovery and development of neighboring mines, which is a solid milestone of national sovereignty.

Chairman of Petrovietnam Board of Members Le Manh Hung spoke at the Ceremony.

Special mark at Dai Hung Mine Development Project Phase 3

In the process of exploiting and developing Dai Hung mine up to now, a very big mark is that PVEP POC has developed Dai Hung 02 area, especially recently the Dai Hung mine development project phase 3 to supplement the exploitation output.

The success in developing phase 3 of the mine, entirely by internal resources, is a testament to the remarkable maturity in technical capacity, organization and management of large-scale projects. This is also the result of effective connection between units in the Petrovietnam ecosystem - where the spirit of "connecting strength - creating the future" is not just a slogan but has been transformed into practical results.

The Dai Hung Field Development Project Phase 3 is a key project in maintaining production output at Dai Hung Field, improving recovery rates, and increasing economic efficiency. At the same time, the Project also opens up opportunities for continued exploration and expansion at Block 05.1(a) and neighboring blocks - a long-term strategy in ensuring energy security and national sovereignty over seas and islands.

PVEP General Director Nguyen Thien Bao spoke at the Ceremony.

The Dai Hung mine project phase 3 is implemented entirely with domestic resources, with 100% Vietnamese staff, engineers and experts from key units of Petrovietnam such as Vietsovpetro Joint Venture, Vietnam Oil and Gas Technical Services Corporation (PTSC), Oil and Gas Drilling and Well Services Corporation (PV Drilling), operated by PVEP-POC Company.

The fact that an offshore development project, with a depth of more than 110m, was carried out entirely by Vietnamese people is a historic step forward, affirming the capacity to master large oil and gas projects - a field that requires high technical skills, close coordination and the ability to cope with harsh operating conditions.

The project was implemented from the end of 2022, overcoming a series of difficulties such as geopolitical fluctuations, supply chain crisis of materials and equipment, prolonged impact of the Covid-19 pandemic, complex weather conditions and distance from shore (about 265 km from Vung Tau). However, the staff and engineers of the units in the Petrovietnam Ecosystem have worked together to continuously optimize the design and construction, ensuring the criteria of Safety - Quality - Progress.

The Dai Hung Phase 3 project is a clear demonstration of the solidarity, intelligence and bravery of Petrovietnam workers. It proves that Vietnamese people are fully capable of mastering and operating highly complex oil and gas projects that previously had to depend on foreign experts.

PVEP POC Director Le Duc Tue reported on the implementation process of the Dai Hung mine development project phase 3.

Impressive economic and technical efficiency

The Dai Hung Phase 3 project includes a WHP-DH01 wellhead platform installed at a depth of over 110m, connected to the existing FPU central processing platform via a 5.2km long flexible pipeline system. Key milestones such as groundbreaking of the wellhead platform (November 23, 2022), launching of the jacket (April 16, 2024), installation of the sea (June-August 2024), receiving technical oil flow (October 22, 2024), receiving commercial oil flow (May 7, 2025, 20 days ahead of schedule) were all completed on time and ahead of schedule.

The first commercial oil flow reached 6,000 barrels/day, contributing significantly to maintaining and increasing production at Dai Hung field - one of Petrovietnam's strategic fields. Up to now, the entire field has exploited nearly 75 million barrels of oil, contributing a large source of revenue to the State budget and creating jobs for thousands of workers in the development stages.

It is expected that the total revenue of the mine after putting into operation phase 3 will reach about 160,000 billion VND by 2034, contributing about 76 million barrels of oil to Petrovietnam's total production output.

Not only bringing financial efficiency, the project also plays a foundational role for strategies to expand exploration and develop new structures in block 05-1(a) as well as neighboring areas - contributing in the long term to the goal of ensuring national energy security and protecting the sovereignty of the Fatherland's sea and islands.

Chairman of Petrovietnam Board of Directors Le Manh Hung presented the Outstanding Unit award to PVEP POC.

To continue promoting those impressive results, Deputy Prime Minister Bui Thanh Son requested Petrovietnam in general, PVEP, PVEP-POC and partners and contractors to make efforts, overcome difficulties and challenges, continue to promote the spirit of creativity, proactively adapt, promote scientific research, apply modern technology to conduct additional exploration research, expand the scale of development and connect neighboring mines to maximize the value of the supply chain in the field of oil and gas exploration and exploitation; innovate thinking, mobilize combined strength, excellently complete assigned tasks, continue to strive to become a leading energy group with a strong brand in the region and the world; continue to promote the pioneering role in protecting the sovereignty of seas and islands, linking economic development with maintaining security and defense of the Fatherland's seas, worthy of the trust of the Party, State and people, contributing to building and developing the country into a prosperous, civilized and happy country.

Petrovietnam General Director Le Ngoc Son and Deputy General Director Le Manh Cuong presented certificates of merit to outstanding individuals.

On behalf of Petrovietnam's leaders, staff and employees, Petrovietnam's Chairman of the Board of Directors Le Manh Hung pledged that Petrovietnam will synchronously deploy the task groups directed by the Government's leaders in the process of governance, operation and production and business of the Group, to continue promoting the Group's core values, contributing more to the country, to energy security and protecting the country's sovereignty at sea.

Through 4 lessons learned from the Dai Hung mine development project phase 3, namely technical capacity, project management capacity, project management capacity and corporate governance capacity, Petrovietnam in general and its member units in particular need to implement the next projects and works using Petrovietnam's internal resources to continue to complete the growth and development goals in the new context.

Also at the Ceremony, Government leaders and Petrovietnam leaders presented gifts, certificates of merit and honors to encourage and motivate the PVEP and PVEP-POC leadership team for their active contributions to the success of the Project.

Flag salute on Dai Hung oil rig.

The success of the Dai Hung Mine Project Phase 3 in particular and Dai Hung Mine in general is a concrete demonstration of the strength of the chain of units in the Petrovietnam Ecosystem, ready to share, support, research, explore and apply many construction solutions, determined to ensure the project plan, marking a new milestone in the development of science, technology and large-scale project management in the energy industry.

Dai Hung Mine Exploitation Platform.

This is one of the bright spots, especially in the context of Petrovietnam stepping up exploration and prospecting to increase reserves and production output. With the right strategy, self-reliance and determination, the Vietnamese people can do what seems impossible.

Workers in the Control Room wait for the first commercial flow of oil.

- PetroVietnam Exploration and Production Corporation (PVEP) is a 100% owned enterprise of the Vietnam National Energy Industry Group (Petrovietnam), the main unit of Petrovietnam in the field of oil and gas exploration and exploitation. PVEP has experience in implementing 29 domestic projects/contracts and 5 foreign projects, playing a key role in the development strategy of Petrovietnam's Energy pillar in the new development stage.

- The Domestic Oil and Gas Operations Branch (PVEP-POC) is a unit under PVEP, with the function of representing PVEP in operating oil and gas exploration and exploitation activities in domestic blocks in the form of self-management. PVEP-POC is currently operating the Dai Hung mine project, Block 05-1(a).