On October 10, 2019, in Hai Phong city, Vietnam Gas Corporation held a signing ceremony of contracts related to the adjusted Nam Con Son 2 Gas Pipeline Project and Sao Vang - Dai Nguyet gas collection and transportation pipeline project.

Participating in the Signing Ceremony, on the Vietnam Oil and Gas Group (PVN) side, were Mr. Le Manh Hung - General Director of the Group; Members of the Board of Directors: Mr. Dinh Van Son and Mr. Nguyen Hung Dung; Deputy General Directors: Mr. Nguyen Xuan Hoa, Mr. Nguyen Quoc Thap, Mr. Le Xuan Huyen. Also attending were representatives of specialized departments of Vietnam Oil and Gas Group. On the side of Vietnam Gas Corporation (PV GAS), there were Mr. Nguyen Sinh Khang - Chairman of the Board of Directors, Mr. Duong Manh Son - General Director; Mr. and Mrs. in the Board of Directors, Board of General Directors, Board of Supervisors and representatives of specialized departments and units of PV GAS.

EPC contract for marine pipeline part of Nam Con Son 2 Gas Pipeline Project adjusted between Vietnam Gas Corporation and TECHNIP Contractor

At the ceremony, PV GAS signed contracts: EPC contract for marine pipeline part; Pipe production; Pipe coating of Nam Con Son 2 Gas Pipeline Project adjusted between Vietnam Gas Corporation (represented by Southeast Gas Project Management Board - PVSEG) with Contractors Technip Geoproduction (M) SDN BHD (TECHNIP)/ Petrovietnam Steel Pipe Joint Stock Company (PV PIPE)/ Vietnam Petroleum Pipe Coating Joint Stock Company (PV COATING) and Sao Vang - Dai Nguyet EPC Contract under the Gathering Pipeline Project, Transporting gas from Sao Vang - Dai Nguyet field between Vietnam Gas Corporation (represented by Gas Project Management Company - DAK) and the General Contractor, Petroleum Technical Services Corporation (PTSC).

Pipe Production Contract for Nam Con Son 2 Gas Pipeline Project adjusted between Vietnam Gas Corporation and PV PIPE

As part of the "Master plan for development of Vietnam's gas industry up to 2025, orientation to 2035" approved by the Prime Minister, the Nam Con Son 2 Gas Pipeline Project plays an important role in the task of synchronously developing the infrastructure of Vietnam's gas industry, completed and put into use phase 1 in 2015 with 151km of sea pipeline from KP 207.5 to BK-Thien Ung platform. 

The adjusted investment scale of phase 2 of the Nam Con Son 2 Project includes: Sea pipeline about 118 km long, 26' diameter from KP 207.5 to Long Hai landing station; Onshore pipeline and stations include: Long Hai shore station (LFS), Pipeline from Long Hai shore station to Gas Processing Plant (GPP2) at Dinh Co is about 08 km long, 26" diameter, Dry gas product pipeline from GPP2 to Phu My GDC: about 29.5km long, 30" diameter; 01 shut-off valve station at Phuoc Hoa and NCS2 gas receiving system at Phu My gas distribution center; 02 product pipelines (Condensate 6" and LPG 6") about 25km long from GPP2 to Thi Vai and 03 valve stations along the pipeline; Gas Processing Plant (GPP2) in Dinh Co. 

Pipe Coating Contract of Nam Con Son 2 Gas Pipeline Project adjusted between Vietnam Gas Corporation and PV COATING

Phase 2 of the adjusted Nam Con Son 2 Gas Pipeline Project includes the following main packages: EPC for the marine pipeline part (EPC-1); GPP2 factory EPC (EPC-2); EPC onshore pipeline and stations (EPC-3); Procurement of steel plates; Steel pipe production; Pipe wrap; and some other bidding packages. In particular, the EPC bidding package for the marine pipeline part (EPC-1) will be carried out by contractor TECHNIP as one of the important bidding packages of the Project, with the scope of work including: Survey, construction drawing design; Procurement of materials and equipment (except for the 26" concrete-covered pipe provided by the Investor) and construction and installation of about 118km of marine pipeline, 26" diameter from the end point of Phase 1 at Bach Ho to Long Hai (EPC-1 contractor is responsible for connecting the marine pipeline part of Phase 1 and Phase 2 of the Project). PVPIPE and PVCoating produce pipes and coat pipes for 126km of gas pipelines with a diameter of 26" and 29.5km with a diameter of 30".

Sao Vang - Dai Nguyet EPC Contract belongs to Sao Vang - Dai Nguyet Field Gas Collection and Transportation Pipeline Project between Vietnam Gas Corporation (represented by Gas Project Management Company - DAK) and General Contractor PTSC

The signing of the three mentioned contracts aims to ensure the goal: completing the connection to the marine pipeline and being ready to receive Sao Vang - Dai Nguyet gas expected in the third quarter of 2020. 

The Sao Vang - Dai Nguyet field gas collection and transportation project is equally important and urgent: This is the process of investing in building a pipeline from the Sao Vang compression platform connecting to the existing Nam Con Son 2 pipeline, and at the same time connecting to Thien Ung - Dai Hung field to collect and transport to shore Sao Vang - Dai Nguyet and Thien Ung - Dai Hung gas output. It is expected that when the project is completed at the end of the third quarter of 2020, it will bring gas output of about 2-3 billion m3/year to shore, supplementing gas sources for the Southeast region. The project takes full advantage of PV GAS's available gas industrial infrastructure, improving the investment efficiency of the project, as well as the efficiency of offshore gas exploitation. This gas collection and transportation pipeline has a design capacity equivalent to 7.9 million m3 of gas/day and night.

Statement of contractor/general contractor representative

At the ceremony, Mr. Le Duc Hieu - Head of Southeast Gas Project Management Board and Mr. Tran Van Du - Director of DAK are the two units granted representative authority by PV GAS and signed the contract with the contractors/general contractors, in the presence of PVN and PV GAS leaders.

Speaking at the signing ceremony, the representative of the contractors, Mr. Torfinn Akselsen - Vice President of TECHNIP's Asia region, made a statement of commitment, demonstrating the determination of the parties to coordinate their efforts to implement the Contracts with the goals: safely, effectively, and on schedule. He also emphasized the honor and responsibility of contractors/General Contractors when participating in this especially important project, contributing to ensuring energy security, ensuring raw materials for electricity production and always receiving special attention, direction and close support from the Government, PVN and PV GAS.

General Director of PVN congratulated the parties participating in the Signing Ceremony

Congratulating the parties participating in the important projects that have just been signed, Mr. Le Manh Hung, General Director of PVN highly appreciated the capacity and experience of successfully implementing contracts of the parties, expressing confidence in the capacity and experience of PV GAS as an Investor. He also expressed his hope that PTSC General Contractor, TECHNIP Contractor, PV PIPE Contractor, PV Coating Contractor are clearly aware of the Investor's requirements, complete the assigned work and bidding packages, ensuring safety, quality, efficiency, on schedule and in accordance with procedures/processes. 

We believe that from now on, the completion and operation of the project items of the Nam Con Son 2 Gas Pipeline Project and the Sao Vang - Dai Nguyet Field Gas Collection and Transportation Project will contribute to stabilizing national energy security, supplementing gas sources to meet the increasing demand for energy use for the country's economic development.