Russia oil venture to raise output by 2015

HANOI: Vietnam-Russia oil venture, Vietsovpetro, plans to raise its output to 7 million tonnes, or 140,600 barrels per day (bpd), of oil equivalent per year by 2015, up 16.7 percent from this year's target, a state-run newspaper reported on Saturday.

The venture between state oil and gas Petrovietnam group and Russian state oil firm Zarubezhneft marked its 30th anniversary of establishment on Friday, having pumped 193 million tonnes of crude oil.

The venture's production has fallen gradually from a 2002 peak of 13.5 million tonnes, dropping to 6.4 million tonnes of crude oil in 2010, about 40 percent of Vietnam's overall output.

The venture intends to lift more crude oil and gas as of 2014 from Thien Ung field in block 04-3 to ensure output reaches 7 million tonnes of oil equivalent a year from 2015, the Vietnam Economic Times newspaper quoted Vietsovpetro Chief Executive Nguyen Huu Tuyen as saying.

Vietsovpetro plans to secure highest production from block 09-1, site of Bach Ho field -- Vietnam's largest but ageing field -- and step up exploration of blocks 04-3, 04-1 and 16-2 to further expand oil reserves, the report said.

Vietsovpetro has planned crude oil output at 6 million tonnes per year for 2011-2013, the report said.

Last month, it reported new oil flow of 4,560 barrels per day (bpd) at a well near the Bach Ho field, state media said.

Last December, the governments of Vietnam and Russia agreed to renew cooperation in oil and gas exploration, extending Vietsovpetro's life by another 20 years.

Copyright Reuters, 2011