Vietnam to Pump 17 MLN Tonnes of Crude Oil in 2000 HANOI - Vietnam Oil and Gas Corporation (PetroVietnam) plans to pump about 17 million tonnes of crude oil in 2000, a year-on-year increase of 2 million tonnes, according to PetroVietnam General Director Ngo Thuong San. PetroVietnam is currently increasing the oil pumping capacity on the existing oil fields, starting a project to develop the Lan Tay-Lan Do oil field (Lot 16.1) and the Tay Nam gas project, and accelerating activities in the exploration and survey of oil and gas reserves. In the coming period, work will start for the construction of a number of projects of the Dung Quat oil refinery plant, including material storage, product storage, and a port, that will make it possible for Vietnam's first oil refinery plant with an annual capacity of 6.5 million tonnes to be operational in 2003. The plant will turn out diesel oil, petrol, kerosene, and liquefied gas. PetroVietnam will expand its trading activities in the world market, particularly wholesale, and build storage tanks and assemble pipeline to service oil and gas distribution. In 1999, Vietnam tapped 15 million tonnes of crude oil, an increase of 19 percent over 1998, and brought ashore 1.4 billion cubic metres of gas. Oil and gas are mainly exploited at the Bach Ho (White Tiger), Rong (Dragon), Dai Hung (Great Bear), Ruby, Rang Dong (Dawn), and Bunga Kekwa fields with a capacity of 50,000 tonnes of crude oil per day. More than 3 million cubic metres of gas have been brought ashore every day. Since the enactment of the Law on Foreign Investment in 1988, PetroVietnam has signed production share, business cooperation, and joint venture contracts with foreign petroleum companies with a combined pledged investment capital of over US$ 3 billion. In 1999 alone, PetroVietnam signed three contracts on oil exploration at lots 07, 08, 53/97 and 16.1 with Unocal Exploration Ltd. of the US, Moeco Southwest Vietnam Petroleum of Japan, and Soco of the US. Under these contracts, the Vietnamese side is authorized to control the exploration activities; both sides will contribute capital to carry out exploitation if crude oil is found; and the foreign partners are responsible for all risks in the exploration period. At present, Vietnam is the fourth biggest oil exporter in Southeast Asia. Last year, the country exported 14.7 million tonnes of crude oil, a year-on-year increase of 21.4 percent; earned US$ 2 billion from the export of oil, a year-on-year increase of 62.3 percent, accounting for 17 percent of the country's total export turnover. Vietnam has mainly exported crude oil to Singapore, the US and Japan. It plans to expand crude oil outlets to Australia, the Republic of Korea, Britain, and Holland. Apart from expanding oil and gas exploration and exploitation activities, PetroVietnam has provided Vietnamese and foreign petroleum companies with services such as storehouses, means of transport, survey and evaluation of environmental impacts, data treatment and other scientific and technological services. The corporation has annually earned about VND 1 billion (US$ 71.4 million) from these services, accounting for 15 percent of the domestic market in this field. Vietnam news Agency - February 3, 2000.