PetroVietnam, Zarubezhneft recoup 50% of investment in Rusvietpetro JV
MOSCOW. Nov 24 (Interfax) - PetroVietnam and Zarubezhneft have so far recouped about half of their investment in the Rusvietpetro joint venture.
"The investment made by the project participants is being recouped. PetroVietnam invested $500 million and has recouped $270 million," Zarubezhneft chief Sergei Kudryashov said during a meeting with Vietnamese Central Committee General Secretary Nguyen Phu Trong.
The Russian oil company also invested about $500 million. It has a 51% share in the JV and PetroVietnam has 49%. The sides recouped investment in proportion to their holdings.
The JV will produce 3.15 million tonnes of oil in 2014, 100,000 tonnes above target. Net profit will total 13 billion rubles, 15% above target, Rusvietpetro First Deputy General Director Nguyen Phan Phuc said. Net profit last year amounted to 10.2 billion rubles. In other words, earnings are on track to rise 27% this year.
Kudryashov said the company's plans also include stabilizing production at another JV with Vietnam, Vietsovpetro. "Production currently totals more than 5 million tonnes. The target for 2015 will be on a par with the 2014 level," he said.
One goal is intensive replacement of reserves. "This year, each one of eight exploration wells was a success," Kudryashov said.