2017 Offshore Excellence Awards

Acquisition International - Offshore Excellence Awards 2017 5 environment where everyone can contribute fully to the success of the company and all hard work and dedication is recognized and valued.” Currently, PVEP is an active player in the global marketplace, with 52 active petroleum projects, 41 domestic and 11 overseas. Operationally, they include 26 exploration projects, 8 development projects, 18 production projects. This vast array of projects provides many challenges which the Company is working hard to overcome, as Dr. Ngo highlights. “PVEP is currently coping with quite a few challenges: exploration risks are becoming higher and higher. Many current producing projects are confronting production delineation. New oil discoveries are mostly of small scale and at marginal areas while exploration offshore is more challenging. A politically sensitive condition in countries where PVEP has projects has led to limited operations. “In addition, just like any other petroleum company, PVEP is presently enduring the oil crisis era: low oil price in a long period has influenced PVEP’s long team investment plan and put PVEP in difficult conditions in terms of cost control, business efficiency, capital arrangement especially when service costs do not decrease correspondingly and given the fact that PVEP has made a lot of investment in the 2010 – 2014 period (when oil prices were high). The downturn in oil price has been dramatically affecting our economic efficiency and our investments. To survive, PVEP has to optimize our capital and operating expenses across the board, becoming more selective as a partner in investment projects. We also restructured our system to well adapt with the chaotic of oil market which has affected Oil and Gas industry sharply. Our success during this tough period for the industry highlights the excellence of our leadership and the strength of our global strategies.” One of the Company’s core focuses is providing a safe and secure workplace where all our people have the knowledge and ability to work safely by using the best technologies and practices. As such, over recent years PVEP have been striving to improve the effectiveness of its health, safety and environmental (HSE) management and conducting its business in such a manner so as to ensure that all hazards to our people, assets and the environment are prevented while adverse effects on the environment and property, to be minimized. To this end, the Company have established a HSE Management System to ensure that the health and safety of employees, contractors and other related parties are protected, and it people are well prepared for any emergency case in all operations. Dr Ngo is eager to focus on this and explain how the Company implements responsive strategies across every area of health and safety. “At PVEP, WE are committed to the implementation, review and continuous improvement of the HSE management system and deal with any insufficiency seriously. In order to formalize this commitment, we have been managing the risks associated with PVEP activities by developing and implementing an effective and efficient HSE management system. PVEP has insistently complied with any applicable legislation and relevant international regulations.” Alongside its dedication to health and safety PVEP is also fully committed to environmental sustainability by preserving natural resources and reducing pollution for present and future generations. Certification of ISO 14001 with internationally recognized standard demonstrates the company’s commitment to minimizing the impact of activities on the environment through use of best management practices, technological advances, promoting environmental awareness and continual improvement. The Company are accountable to manage the wastes and the consumption of raw materials and fuel resources in an environmentally responsible manner, as Dr Ngo explains. “As part of our commitment to our social and environment responsibilities, PVEP have implemented an environmental management system (EMS) in accordance with the currently international standards, regulations and law. Environmental impact assessment is mandatory and always be adhered to before any projects commencement. PVEP is one of the first companies in Vietnam to invest in research and development projects under the Clean Development Mechanism (CDM), in compliance with the Kyoto Protocol of the UN Framework Convention on climate change. “Over the years, in the role of a major member company of PetroVietnam, PVEP has always paid its special attention to the mission of social welfare including supporting physically and mentally the communities it operates in through the construction of solidarity houses; educational infrastructure; healthcare and hospitals; gratitude programs; aids for sufferers of disasters, flood; and active participating in the protection of sovereignty rights of the sea and island of the country. Along with the main activities of oil and gas exploration and production, this mission has become the fine culture of PVEP. From 2007 up to present, PVEP has contributed roughly 35 million USD, to this humane practice.” Looking to the future, PVEP will be focusing on the implementation of a range of strategies, both domestically and internationally, in order to adapt to the low oil prices that look set to become the new normal in the industry. Despite this challenge, Dr. Ngo Huu Hai confident that the Company can overcome this and continue to offer the very highest level of service to both its clients and its collaborators as it seeks to strengthen its global network and grow even further over the coming months and years. “Over recent years, PVEP has joined the top two petroleum producers in Vietnam, together with Vietsovpetro in collaboration to ensure the continued success of the industry in the region. While Vietsovpetro has operated several big and famous oil fields of Vietnam such as Bach Ho, Rong and contributed major petroleum output as well as revenue to the Vietnam’s economy since the 1980s, PVEP has progressed from its beginning as an apprentice in the hi-tech business with no producing fields to have the gross proven reserve of 2.2 billion barrels of oil, daily production of nearly 204,000 barrels of oil and 11 million cubic meter of gas per day at the end of 2016. Therefore, looking ahead, our strategic objective in the domestic market is to strengthen the leading position. “With regards to our overseas operations, we have had to face many giants, and strong, experienced competitors. Thus we set our goals and pursue them to the most proper of our capability, which is to become an international and professional oil company, among the regional leaders and keeping pace with the neighbouring majors including Petronas, PTT, and Pertamina. We have a later start behind other international oil companies; therefore, PVEP has made huge efforts in accelerating its development, integrating strongly into the world market and enhancing managerial and operational competence. We have also carried out breakthrough measures in terms of organizational structures, multi-tier training system and human resource development. The consistent aim is to become an accomplished and renowned international oil company using state-of- art technology, encouraging inventiveness, gaining higher financial strength and competitiveness.”