TNK-BP wins licence for offshore Vietnam block

TNK-BP announced that the Vietnamese Ministry of Investment and Trade has granted TNK Vietnam, the Vietnam-based subsidiary of TNK-BP Group, the investment licence to operate offshore gas Block 06.1, part of the Nam Con Son Integrated Gas to Power Project.
TNK-BP has acquired from BP a 35 % stake in the offshore gas condensate production Block 06.1, which contains the Lan Tay and Lan Do gas condensate fields. The acquisition brings TNK-BP production of 17,000 boepd on a net entitlement basis in 2011.

The Integrated Gas to Power Project also includes the Nam Con Son Pipeline, which is the world’s longest two-phase pipeline, and the Phu My 3 Electric Power Plant.
As part of the deal TNK-BP will also acquire 32.7 % and 33.3 % stakes in these projects, respectively, pending lender and government approval.

Maxim Barskiy, Deputy Chairman of the Management Board, TNK-BP, commented:
„As Vietnam’s largest in-country gas producer, Block 06.1 plays an important role in meeting the country’s growing energy needs. As operator, TNK-BP will ensure best-in-class efficiency of operations, while at the same time keeping HSE as a top priority. Our company sees Vietnam as a very prospective market and will continue to review opportunities for deepening our presence in the country.“