Petrovietnam grows strongly thanks to volatility management

From crisis to stability and sustainable development

From 2016 to 2020, Petrovietnam has overcome the dual crisis of the COVID-19 pandemic and the sharp drop in crude oil prices in 2020 - an unprecedented challenge in history. Notably, with the efforts from the “Volatility management” strategy, Petrovietnam has been one of the few oil and gas corporations in the world to maintain profits of nearly VND20 trillion in the most difficult period.

Chairman of the Board of Members of Petrovietnam Le Manh Hung (Second, Right) and a working delegation inspect operations at LNG Thi Vai Terminal

In 2021, the efforts of Petrovietnam helped the group achieve its growth recovery goal and complete its production and business plans comprehensively. In 2022, the group took advantage of the opportunities from changes in the energy market and thanks to careful preparations, Petrovietnam set many records in output and revenue, and became one of the key units ensuring energy security for the country.

In 2023, the Vietnamese economy in general and the oil and gas industry in particular continued to face a series of difficulties. However, this was an opportunity for Petrovietnam to affirm the power of governance innovation to achieve outstanding results.

Chairman of the Board of Members of Petrovietnam Le Manh Hung (Third, Right) introduces the group’s CO2 emissions reduction strategy to Prime Minister Pham Minh Chinh

Since the beginning of 2024, Petrovietnam has persistently pursued its strategy of expanding scale and restructuring business infrastructure, promoting international activities to increase sustainable value. By adopting the motto of “Managing volatility, Adding new motivation, Refreshing old motivation, Creating new energy, Reaching new heights,” in the first nine months of 2024, Petrovietnam’s total revenue was estimated at VND736.5 trillion, up 12 percent compared to the same period in 2023. The group’s total state budget contribution was estimated at VND115.2 trillion, a year on year increase of nine percent.

Petrovietnam leaders survey the planned area where Long Son Petrochemical Complex will be constructed

A successful management model of Petrovietnam

In the context of the oil and gas industry witnessing a rapid shift to green energy, Petrovietnam has also researched and made preparations for offshore wind power projects and stepped up international cooperation to develop renewable energy.

For example, the cooperation with Sembcorp Utilities Ltd. to export electricity to Singapore is one of Petrovietnam’s strategic steps to diversify energy supply structure.

In addition, Petrovietnam has completed the digitization of all documents and integrated the enterprise resource planning (ERP) system with data from smart factories, aiming to create a synchronous and efficient ecosystem.

The LNG Thi Vai Terminal

One of Petrovietnam’s outstanding achievements in governance innovation is the building of a strong corporate culture, based on the core values of “Aspiration - Intelligence - Professionalism - Compassion” as a foundation. Particularly, Petrovietnam has also focused on brand development. To date, its brand value has reached nearly US$1.4 billion and has been rated BB+ by the world’s leading credit rating organization Fitch Ratings for five consecutive years.

The combination of the “Volatility management” strategy and sustainable corporate culture has created a solid foundation for Petrovietnam to continuously move forward. Not only being a backbone of Vietnam’s economy, Petrovietnam has also become a symbol of self-reliance and constant innovation of the country’s energy industry.