On the first days of Lunar New Year, at the storage of PV GAS Vung Tau, the company and PetroVietnam Oil Corporation organized the first Condensate delivery ceremony. The Condensate was handed over under the Business Cooperation Contract.
The handover ceremony was attended and witnessed by members of BCC coordinating committee and PVOIL and leaders of PV GAS, PVOIL, Gas Processing Company, PVOIL Phu My.
The delivery ceremony is an important milestone of the companies, opening the BCC contract for the 2021-2025 period signed between PV GAS and PVOIL on January 20, 2021. The cooperation has strengthened the strategic cooperation relationship between the two units of Vietnam Oil & Gas Group.
The contract has also realized the Group’s policy to build a chain of raw materials - producing - storing and distributing petroleum products. From this basic, it will develop a chain of links between units in PetroVietnam.
Accordingly, the BCC contract has 5-year term, from 2021 to 2025. Under the agreement, PV GAS provides Condensate and PVOIL processes and sells the products.
PV GAS is the only member unit of PetroVietnam has the function to produce and trade Condensate and PVOIL is the only member unit of the Group can produce and trade petroleum. Under the approval of PetroVietnam, PV GAS and PVOIL form a business cooperation to produce RON91 gasoline and DO products to meet market demand.
At the ceremony, two companies’ representatives witnessed the first shipment of 4,000 sm3 Condensate transferred from the storage of PV GAS Vung Tau to the tank of PVOIL Phu My. The Condensate volume was produced from the Gas Processing Plant - GPP Dinh Co and transported by pipeline to PV GAS Vung Tau storage. The next batch is expected to be delivered in the first half of March 2021.
After receiving the Condensate, the PVOIL Phu My's Condensate Processing Plant will produce Naphtha and DO products, before sending to PVOIL storage in Nha Be District, Ho Chi Minh City or Eastern Storage in Ba Ria - Vung Tau for mixing into RON91 gasoline and DO products. Gasoline RON91 of this BCC contract will used as raw material for mixing with ethanol to produce E5 RON92 gasoline.
In the context of the COVID-19 pandemic, this Business Cooperation Contract (BCC) is a new direction of the Group and its units, helping PV GAS and PVOIL to share experiences, human resources, facilities ... maximizing the potentials and strengths of each party to contribute to business efficiency and increasing the competitiveness in the market of both units.
This is a remarkable event of PetroVietnam. It opened the new year 2021 as a pioneering direction of two typical PetroVietnam units. The cooperation proved the corporations’ determination to overcome challenges, contribute to develop brand name of themselves as well as of PetroVietnam. The cooperation was organized with strict business requirements, ensuring absolute safety, protecting the environment and complying with current regulations.