Dai Hung Mine Project: Symbol of courage, milestone of the oil and gas industry

Deputy Prime Minister Bui Thanh Son attends the ceremony to welcome the first oil flow of the Dai Hung field development project, phase 3 - Photo: VGP/Hai Minh

On the evening of May 16, in Ho Chi Minh City, Deputy Prime Minister and Minister of Foreign Affairs Bui Thanh Son attended the ceremony to welcome the first oil flow of the Dai Hung Field Development Project Phase 3, invested by the Vietnam National Energy Industry Group.

In April 1993, the Block 05-1 (a) - Dai Hung oil and gas contract was first signed with a multinational contractor consortium, in which BHP (Australia) played the role of operator.

During the period 1993-1999, the contractor consortium carried out the development and exploitation of oil at Dai Hung field. However, the project management process was then transferred to foreign operators, and the foreign operators withdrew from the project due to ineffective exploitation.

To continue operating the Dai Hung mine, in October 2003, the Government decided to assign the right to directly conduct oil and gas activities at Dai Hung mine to the Oil and Gas Exploration and Production Corporation (PVEP) under Petrovietnam with the responsibility of operating the mine safely and with the highest efficiency. At that time, the book value of the mine was only 1 USD.

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 - a member unit of PVEP.

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 design and construction, ensuring safety-quality-progress indicators.

The project includes a WHP-DH01 wellhead platform installed at a depth of more than 110 m, connected to the existing FPU central processing platform through a 5.2 km long flexible pipeline system.

Deputy Prime Minister Bui Thanh Son speaks at the ceremony to welcome the first oil flow of the Dai Hung Field Development Project Phase 3 - Photo: VGP/Hai Minh

PetroVietnam welcomed commercial oil flow on May 7, 2025, 20 days ahead of schedule, reaching a flow of 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 mine 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.

The fact that an offshore development project, with a depth of more than 110 m, 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 success of the Dai Hung Mine Project Phase 3 in particular and Dai Hung Mine in general marks a new milestone in the development of science, technology and large-scale project management in the energy industry; at the same time, it affirms that Vietnamese people are completely capable of mastering and operating highly complex oil and gas projects that previously had to depend on foreign experts.

Speaking at the ceremony, Deputy Prime Minister Bui Thanh Son expressed his emotion and pride in attending today's event - a very important milestone, affirming the persistent efforts, intelligence and tireless dedication of the collective leadership, officers, engineers and workers of the Oil and Gas Exploration and Production Corporation (PVEP), the Vietnam National Energy and Industry Group, as well as contractors and partners participating in the Project.

The Deputy Prime Minister also expressed his pleasure to know that all contractors and partners participating in the project are from Vietnam.

On behalf of the Government, the Prime Minister and Deputy Prime Minister highly appreciated the Group and related partners for their efforts in the past time to manage and organize the implementation of the Project, bringing the first commercial oil flow from Phase 3 of Dai Hung field into exploitation 20 days earlier than planned.

The Deputy Prime Minister said that this has a very positive meaning in the context that our country sets an economic growth target of 8% or more in 2025 and strives for double-digit growth in the following years, contributing to helping our country achieve the goal of becoming a high-income developed country by 2045 on the occasion of the 100th anniversary of the country's founding.

The Dai Hung oil field project is a symbol of courage, perseverance and aspiration to master the sacred sea of ​​the Fatherland, mastering oil and gas exploitation technology on the continental shelf of Vietnam ; a bright spot affirming the position, intelligence and mettle of the Vietnamese oil and gas industry; marking a milestone in the history of the development of the Vietnamese oil and gas industry with the first time the project was implemented with internal resources and 100% Vietnamese people.

In the context of complicated global energy situation, abnormal price changes, increasing domestic demand, ensuring National energy security is more urgent than ever, the Deputy Prime Minister requested that the Vietnam National Energy Industry Group strive to become a leading group in the field of new energy with the goal of ensuring national energy security, keeping up with the global energy transition trend, having a strong brand in the region and the world, deeply participating in the global value chain, taking the lead in promoting innovation, applying science and technology, digital transformation, and developing rapidly and sustainably.

The Group needs to constantly innovate its thinking, have a strategic vision, mobilize combined strength in performing tasks, with the view that resources originate from thinking, motivation originates from innovation, and strength originates from the people.

Without innovation in thinking, we will not be able to create resources to develop the oil and gas industry, we will not be able to mobilize the collective strength of the Group's staff and workers, and we will not be able to create the strength for PVN to rise up and make worthy contributions to the cause of national construction and development now and in the future, the Deputy Prime Minister emphasized.

The Deputy Prime Minister also emphasized the need to allocate more resources for the Group to invest in research and development so that it can grow, be self-reliant, and be ready to cooperate with partners with new potential, position, and new products.

The Group needs to urgently coordinate with the Ministry of Industry and Trade and the Government Office to review relevant legal regulations to propose to competent authorities to consider promoting decentralization and delegation of authority to heads of state-owned enterprises in resolving a number of issues arising in the process of implementing oil and gas exploration and exploitation activities, in order to create greater initiative for businesses to operate.

The Group also needs to proactively and promptly handle difficulties and obstacles and ensure the progress and efficiency of key projects in the energy and oil and gas sectors, especially the Lot B-O Mon gas-electricity project chain, Blue Whale, and Nhon Trach 3 and 4 Power Plant projects.

At the same time, coordinate with foreign partners to remove difficulties, improve the operational efficiency of Nghi Son Refinery and Petrochemical Plant, continue to implement Long Phu 1 Thermal Power Project; urgently implement Block 01/97 and 02/97 projects, Ninh Thuan nuclear power plant project.

In addition, the Group needs to continue to promote the important role of the oil and gas industry in protecting sea and island sovereignty, linking economic development with maintaining security and national defense in the country's sea areas.

Appreciating the Group's charitable activities in recent times, the Deputy Prime Minister hoped that the Group would continue to do a good job of taking care of the material and spiritual life of oil and gas workers, while fulfilling its social responsibilities, contributing to building the brand and good image of PVN.

The Deputy Prime Minister expressed his belief that with today's important achievements and recent positive developments, the Group and its member units will achieve even greater achievements, making worthy contributions to the journey of bringing our country firmly into the new era of development of "wealth, prosperity, civilization, and happiness" of the nation./.

Hai Minh

Source: https://baochinhphu.vn/du-an-mo-dai-hung-bieu-tuong-cua-long-qua-cam-moc-son-cua-nganh-dau-khi-102250516204440351.htm