With the steadfastness in hardship, braveness before challenging: PVN has finished financial plans two months sooner than expected in 2019

Overcoming difficulties and challenges in the context that the domestic and international oil and gas markets have been affected by many negative impacts, oil prices haven’t been favorable, with the effective and drastic improvement of the management and efforts of employees, in the first 10 months of 2019, the Vietnam Oil and Gas Group (PVN) has achieved the revenue and profit plans for the whole year 2019.

In 2019, PVN must carry out production and business targets and tasks in the context of world fluctuations; trade tensions as well as geopolitical fluctuations in many areas which were negatively impacted on the global and domestic economic picture; The Group's key products had to face with the cutthroat competition of imported products; Oil and gas market has been fluctuated sharply. In particular, in October 2019, Brent oil price fluctuated around 60 - 62 USD/ barrel, lower than the planned price in 2019 is 65 USD/ barrel.

The BK-20 rig at the Bach Ho field.

However, with the full sense of responsibility as an important economic group of the country, from the beginning of the year, PVN stated that the operation results of the Group will directly affect GDP growth, energy security, national security and state budget revenues. With that spirit, through improving the efficiency of governance, drastically in operation, proactively building and organizing the synchronous implementation of solutions to implement the assigned tasks well by the State, and efforts of employees, in the first 10 months, PVN has successfully completed the assigned targets and plans.

Accordingly, most of the Group's production targets exceeded the set targets; increase oil and gas reserves that have completed the 2019 plan; oil and gas prospection, exploration and exploitation work was carried out according to the plan.

Electricity production in October is estimated at 2.09 billion kWh, exceeding 9.6% of the monthly plan, the accumulated of 10 months is estimated at 18.55 billion kWh, exceeding 5.1% of the 10-month plan and equaling 85.9% yearly plan.

Fertilizer production in October is estimated at 144.27 thousand tons, exceeding 1.3% of the monthly plan, 10-month accumulation is estimated at 1,261 million tons, exceeding 8.1% of the 10-month plan and equaling 87.2% of the yearly plan.

Petroleum production in October is estimated at 0.896 million tons, exceeding 3.9% of the October plan, the accumulated 10 months is estimated at 9.9 million tons, exceeding 5.5% of the 10-month plan and equal to 87.2% of the yearly plan.

In particular, the Group's financial targets for the first 10 months of 2019, such as total revenue and remittance to the state budget, exceed the set plan for the whole year 2019. Specifically:

Total revenue of the Group in October was estimated at VND 61.13 trillion, accumulated in 10 months was estimated at VND 627.74 trillion, exceeding 10.4% of the 10-month plan and exceeding 2.5% of the year plan; finishing 2 months sooner than expected. The State budget payment for the whole Group in October was estimated at 8.15 trillion VND, exceeding 5.9% of the October plan; Accumulated in 10 months was estimated at VND 86.42 trillion, surpassing 10% of the 10-month plan and finishing early of the whole year plan of 2019 before 2 months.

After the hard times, in the spirit of "in the difficulties, it is necessary to be steadfast and brave to overcome challenges", PVN continues to affirm that one of the country's key economic groups, is one of three pillars of the energy sector, is an important macroeconomic regulation tool of the Government and makes an important contribution to the growth of the economy.