Attending the Conference were Mr. Nguyen Hoang Anh - Member of the Party Central Committee, Chairman of the Commission for Management of State Capital at Enterprises (State Capital Management Commission); Mr. Nguyen Cao Luc - Vice Chairman of Government Office; Mr. Cao Xuan Thanh - Deputy Head of the National Steering Committee on Electricity Development; Mr. Ho Sy Hung - Vice Chairman of the State Capital Management Commission, together with representatives of ministries and central agencies.
On the side of Petrovietnam, there were Mr. Hoang Quoc Vuong - Secretary of the Party Committee, Chairman of the Board of Directors; Mr. Le Manh Hung - Deputy Secretary of the Party Committee, President and CEO; Mr. Pham Xuan Canh - Standing Deputy Secretary of the Party Committee, Member of the Board of Directors, together with members in the Standing Committee of the Party Committee, the Board of Directors, the Executive Management Board, Heads of Divisions/ Administration Office, representatives of the unions, political organizations, heads of member units under the Group.
Under the authorization of the State President, Mr. Nguyen Hoang Anh - Chairman of the State Capital Management Committee awarded the First-class Fatherland Defense Order to Vietnam National Oil and Gas Group
Managing fluctuation, recovering growth
Experiencing two consecutive years in the context of the Covid-19 pandemic negatively affecting the world economy, global trade and low oil prices lasting for many months, Petrovietnam had to face unprecedented challenges and difficulties. However, the Group proactively adapted and overcame many difficulties caused by the epidemic, the complicated situation in the East Sea, the distance, the supply chain disruption, from the low demand of the market…by taking full advantage of business opportunities from oil prices, the recovery of the world economy leading to the recovery of the export market.
Maintenance of offshore drilling rigs
To do so, the Group identified and followed the goals of managing fluctuation, maximizing value, expanding markets, taking advantage of opportunities, linking investments, and recovering growth.
As a result, in 2021, most of Petrovietnam’s production and business targets reached very high levels compared to the plan, many important production targets were fulfilled from 14 to 42 days ahead of schedule.
Gold Star Central Processing Rig
In which, crude oil production reached 10.97 million tons, exceeding 1.25 million tons as planned.
Petroleum production of the whole Group reached 6.37 million tons, exceeding 0.1% of the year plan, an increase of 9.5% compared to 2020. Fertilizer production completed the whole year plan (1.6 million tons) 14 days earlier; in 2021, it was 1.91 million tons, exceeding 286 thousand tons (≈18%) of the year plan, an increase of 6.0% compared to 2020. Besides, the Group timely supplied enough natural gas and electricity for the energy market.
Total revenue of the whole Group exceeded the whole year plan 2 months earlier, reaching 620.2 trillion dong, exceeding 26.4% of the year plan, an increase of 28% compared to 2020; consolidated pre-tax profit was estimated at 45 trillion dong, 2.6 times higher than the year plan, 2.2 times higher than in 2020; The Group’s payment to the State budget was completed 3 months ahead of schedule with 112.5 trillion dong, exceeding 80% of the plan, increasing by 36% compared to 2020. Petrovietnam took the lead in term of production and business results among 19 groups and corporations under the Commission in 2021.
Overview of Dung Quat Shipyard – DQS
In terms of investment and handling of weaknesses, Petrovietnam made many positive changes in 2021. The handling of difficult projects also underwent great changes when 4 out of 5 projects was removed by the Government from the list of difficult and weak projects in the Industry and Trade sector, including 03 biofuel projects (Dung Quat, Phu Tho and Binh Phuoc); VNPoly operated all 27 yarn production lines with good product quality, revenue exceeding the plan; The other project – DQS had stable orders, mainly from customers outside the Oil and Gas Industry, revenue exceeded 4% of the plan
In addition, PetroVietnam Construction Corporation (PETROCONs), after decades of years, was profitable for the first time; Thai Binh 2 Thermal Power Plant Project, after many years of stopping,revived and tested many items... towards the finish line as committed in 2022.
Su Tu Trang project, phase 2A was put into operation, BK-18A and BK-19 rigs were put into operation ahead of schedule; Dinh Vu Polyester Fiber Plant project operated 100% of the yarn production lines, with an output of 10,700 tons and revenue of 49%. DQS Shipyard had stable orders, revenue exceeded 4%. In particular, the Group accelerated the progress of Thai Binh 2 Thermal Power Plant Project. On 23rd February 2022, it is expected to fire Unit 1 with oil for the first time, striving to put the plant into commercial operation in 2022.
Thai Binh 2 Thermal Power Plant Project is expected to fire Unit 1 with oil for the first time on 23rd February 2022, striving to put the plant into commercial operation in 2022
In 2021, Petrovietnam had impressive achievements in the development and application of science and technology and was the only enterprise in the country with 6 projects nominated for the Ho Chi Minh Prize, the State Prize in Science and Technology. In parallel with production and business, Petrovietnam regularly took care of employees’ lives, ensured job stability, and better income for employees than previous years.
Petrovietnam actively implemented management and thrift practices with a total saving value of more than 3,012 billion dong, 10.5% higher than the plan. That was a very important premise so that Petrovietnam could best fulfill its social responsibility through social welfare work and contributing to the Vaccine Fund, participating in Covid-19 disease prevention and control activities with a record amount of more than 1,000 billion dong. Along with that, Petrovietnam ensured jobs, income; health safety, life, material and spiritual life for nearly 60,000 domestic and foreign workers as well as their relatives and pensioners.
Petrovietnam Chairman of the Board of Directors Hoang Quoc Vuong gave a donation of 400 billion dong to the Vaccine Fund for Covid-19 Prevention and Control
Recognizing the important role of corporate culture, the Petrovietnam Cultural Regeneration Project was focused on deploying synchronously and widely throughout the Group, contributing to a transformation in production and business activities, helping Petrovietnam overcome all difficulties, successfully complete all assigned tasks.
Through efforts, perseverance in implementation, combined with the media, Petrovietnam transformed its cultural values into actions and daily work, thereby promoted the synergy of the whole political system. The implementation of the action motto “Solidarity - Discipline - Creativity - Efficiency” has made a breakthrough in the implementation of the Petrovietnam Cultural Regeneration Project in the past year. In particular, activities to celebrate the 60th anniversary of the Traditional Day of the Oil and Gas Industry (27th November 2021) with wide spread have really made a mark, evoked good feelings of generations of oil and gas employees, social consensus, drew the attention of the Party and State leaders to the Group and the Oil and Gas activities.
To achieve the above results, according to Petrovietnam President and CEO Le Manh Hung, the Group has transformed the management work towards modern, multi-level, multi-field direction and high-degree integration with the goal of ensuring synchronous and comprehensive business operation system from strategic planning, organizational model, financial system to human resource management, production organization and market development, towards sustainable development throughout the Group.
At the same time, the Group proactively forecasted and flexibly adapted for safe, continuous, stable, efficient production and business; smooth consumption of goods and products; successful implementation of the goal to “Manage fluctuation, maximize value, expand market, take advantage of opportunities, link investment, recover growth”.
Inheriting the achievements in 2021, entering the 2022 plan, Petrovietnam is determined to overcome all difficulties and challenges, striving to best implement the tasks and plan targets assigned by the Party and State.
Striving to successfully implement the goals and tasks in 2022
In 2022, the international and domestic situation is forecasted with more difficulties and challenges than advantages: the Covid-19 epidemic may appear more complicated and dangerous; In addition, a series of other risks are still standing such as energy crisis, climate change, uneven and unstable world economic growth…
For Petrovietnam, this is the second year of implementing the Resolution of the 3rd Congress of the Group’s Party Committee for the 2020-2025 term, implementing the five-year plan (2021-2025), and the seventh year implementing the objectives of the Strategy for Development of Vietnam’s Oil and Gas Industry to 2025 and orientation to 2035. In order to successfully fulfill the assigned political tasks, contribute to the successful implementation of the socio-economic recovery and development program with the whole country, ensure GDP growth at 6-6.5%, the Group defines the goals for 2022 as Managing fluctuations, anticipating trends, connecting resources, promoting technology, promoting investment, sustainable development.
Mr. Nguyen Hoang Anh – Member of the Party Central Committee, Chairman of the State Capital Management Commission delivered speech at the Conference
Speaking at the Conference, Mr. Nguyen Hoang Anh praised and congratulated Petrovietnam’s leaders and employees for achieving outstanding results in 2021. He affirmed it continued to speak of the will, aspiration for development, and the solidarity of “fire seekers” during the 6-decade journey of origin and development.
“Today, Vietnam’s oil and gas industry has experienced long strides, developed, and risen to become an important leading economic sector, made great contributions to the country’s socio-economic development, ensured national energy security, at the same time made an important contribution to the cause of defending firmly the country’s sacred sea and island sovereignty”, affirmed Mr. Nguyen Hoang Anh.
“2022 is an important year, creating a foundation for realizing the goals of the 5-year plan (2021-2025) in the context that the country still has many difficulties and challenges, especially the complicated developments of the epidemic”. Mr. Nguyen Hoang Anh suggested that Petrovietnam should continue to closely follow the directions of the Party, State, National Assembly and the Government’s administration to strive to complete the tasks of production, business and development investment plans in 2022.
In particular, the Group should coordinate with the Ministry of Industry and Trade/ Construction Committee to submit to the Government for report to the National Assembly on amendments to the Oil and Gas Law, develop and coordinate with ministries and branches to consider and submit to the Prime Minister for approval of the Group restructuring project for the period of 2021-2025 and the Group development strategy to 2030, with a vision to 2045 and five-year plan of 2021-2025; Implement the Scheme to increase charter capital for the parent company (Vietnam National Oil and Gas Group) in the period of 2021-2025; Concentrate resources to implement key and urgent projects assigned by the Government such as Block B, Blue Whale, Song Hau 1, LNG Thi Vai, LGP Son My Projects, especially put Thai Binh 2 Thermal Power Plant Project into operation soon; Focus on digital transformation and the Petrovietnam Cultural Regeneration Project.
In order for Petrovietnam to complete its tasks, Mr. Nguyen Hoang Anh affirmed that the State Capital Management Commission would always accompany the Group in implementing solutions and key tasks, and actively support and together with the Group focus, handle problems decisively.
He hoped the ministries and branches would continue to accompany and support the Commission and Petrovietnam to have solutions to remove in terms of legal regulations, a number of mechanisms and policies.
On behalf of the Group’s leaders, Chairman of the Board of Directors Hoang Quoc Vuong thanked and accepted the direction of Mr. Nguyen Hoang Anh. He also affirmed that Petrovietnam was determined to overcome all difficulties and challenges, strive to best perform the tasks and targets assigned by the Party and State in 2022.
In particular, the Group would focus on implementing strictly the Resolution of the 4th Central Committee, Session 13 on promotion of the building and rectification of the Party and the political system. Resolutely prevent, repel, and strictly handle cadres and party members who have degraded in political ideology, morality, lifestyle, and self-evolving/self-transforming expression. Continue to flexibly adapt and effectively control the disease to achieve the dual goal of ensuring health safety for employees, workers and maintaining production, completing the set plan.
Promote exploration to increase production (reaching 10-18 million tons); Complete and put 2 large power plants (Song Hau 1 and Thai Binh 2) into commercial operation; finish resolving disputes with PM at Project LP1 and other difficult projects. Other projects as VNPoly; 3 Ethanol projects also need solutions to handle and solve effectively in 2022.
Commence major projects of the Group such as Nhon Trach 3,4, Block B gas project, concentrate resources, complete investment preparation stages such as arranging capital, selecting general contractor to start construction, implementing and completing the project on schedule, creating new capacity and driving force for the Group’s development in the coming period. Continue building Petrovietnam culture with the motto “Solidarity - Discipline - Creativity – Efficiency” based on the cultural values of Aspiration - Pioneering - Courage - Kindness.
Chairman of the Board of Directors Hoang Quoc Vuong suggested that leaders of the units, immediately after the Conference, on the basis of the approved plan, also develop the program and plan of the unit, proactively and actively implemente it from the first days of the year. He believed with the unity and determination of nearly 60,000 employees, 2022 would be a year of continued success for the Group.
On the occasion, the Group honored and rewarded typical teams with outstanding achievements in production and business activities in 2021:
Honoring and awarding the Group’s 2021 Emulation Flag to 10 typical and excellent teams in production and business activities in 2021, including PV GAS; Vietsovpetro; PVFCCo; PVCFC; BSR; PVOIL; PVTrans; Rusvietpetro; PETROSETCO; PVI
Awarding the Certificate of Merit from the Group’s President and CEO to 04 teams with efforts to overcome difficulties and achieve positive results in production and business activities in 2021, including VNPoly; PVC (now is PETROCONs); Thai Binh 2 Petroleum Power Project Management Board; DQS.
Awarding the Certificate of Merit from the Group’s President and CEO to 08 teams with good results in terms of total revenue, market expansion and consolidated pre-tax profit in 2021, including BSR; Vietsovpetro; PVEP; PV GAS; PVFCCo; PVCFC; PTSC; PVCombank
Honoring and giving logos to 08 typical teams in the construction and implementation of the oil and gas industry value chain, including PVOIL; PVTrans; PVNDB; Vietsovpetro; PVEP, PTSC; PV GAS; PVChem.
Honoring and giving logos to 09 typical teams in social welfare work and Covid-19 disease prevention in 2021, including PVCombank; PETROSETCO; PV GAS; Parent company- Vietnam National Oil and Gas Group; PVEP; Vietsovpetro; BSR; PVCFC; PVFCCo and Honoring and awarding logos to 06 typical teams in the implementation of Petrovietnam Culture Regeneration Project in 2021, including BSR; PVCFC; PV GAS; PVTrans; PVOIL; VPI
Honoring and giving logos to 08 typical teams in scientific research in 2021, including Vietsovpetro; BIENDONG POC; BSR; PTSC;PV GAS;VPI; PVCFC; PVEP.
Honoring and giving logos to 04 typical teams in digital transformation in 2021, including Parent company- Vietnam National Oil and Gas Group; PVCFC;BSR; PVOIL.