Petrovietnam Drilling and Well Services : PV Drilling held a Conference on Business Performance in 2023 and Business Plan for 2024

PV Drilling held a Conference on Business Performance in 2023 and Business Plan for 2024

14/12/2023

On 13rd December afternoon in Ho Chi Minh City, Petrovietnam Drilling and Well Service Corporation (PV Drilling) successfully held a Conference on Business Performance in 2023 and Business plan for 2024.

Attending the conference, on behalf of Vietnam Oil and Gas Group (Petrovietnam) there was an attendance of Mr. Phan Tu Giang - Vice President; Mr. Vu Anh Tuan - Vice Chairman of Petrovietnam Union; Mr. Nguyen Dang An - Secretary of the Youth Union cum Deputy manager of Commercial Service Division; Mr. Nguyen The Nghiep - specialized controller and leaders from Petrovietnam's divisions and Union.

The whole conference.

The Presidium at the conference included Mr. Nguyen Xuan Cuong - Secretary of the Party cum President & CEO; Mr. Mai The Toan - Deputy Secretary of the Party cum Chairman of the BOD; Mr. Do Duc Chien - Standing Deputy Secretary of the Party cum Vice Chairman of the BOD.

At the conference, President & CEO Nguyen Xuan Cuong summarized PV Drilling's business operation and performance in 2023. The report showed the efforts of all the management and staff in "Capturing opportunities - Generating growth", which was paid positive results, especially the provision of drilling service.

PV Drilling's President & CEO Nguyen Xuan Cuong reported at the conference.

Accordingly, all the rig fleet operated throughout the year with both rig efficiency and utilization higher than the previous year. In particular, the rigs achieved many prestigious awards such as in May 2023, the PV DRILLING I jack up rig was honored "Years recordable free offshore rig" and PV Drilling received the award "Best Incident Rate Offshore Company"; another jack up rig named PV DRILLING III set a new record of drilling the longest well in Malaysia; the TAD - PV DRILLING V was also voted as "Rig of the year" by Shell in the platform category by for the first time successfully operating 24-hour anchor handling in Brunei, drilling ahead of schedule by processing well completion equipment and connection time, etc. Another remarkable achievement is the Zero LTI (without lost time incident) of the rig fleet in 2023. Besides, PV Drilling has just also honored as "Best HSSE Performance in 2023" in Indonesia.

PV Drilling's Vice President Dinh Quang Nhut reported drilling service provision at the conference.

For well technical services, PV Drilling continued to lead the domestic market share in spite of operating in the harsh competitive business environment; in the meantime, the Corporation expanded provision of new services in the field of wind power; introduced and started to supply to clients new services and state-of-art machinery which was highly appreciated by clients.

The provision of drilling-related services in overseas markets also continued to strengthen, some of which might be highlighted such as manpower provision in Japan, Nigeria, ASEAN countries and Middle East; mud logging provision in Thailand; training service provision in Dubai and Myanmar.

Other activities including manpower training, digital transformation, financial management, corporate governance… were all enhanced to conduct so that the Corporation could meet the need of business operation in the current growth period. Activities of the Communist party, corporate culture, the Union, Veterans Association and Youth Union were actively implemented with many practical CSR activities, contributing to the spreading and contribute more for the community and the society.

Always making the best efforts in all business activities, especially actively capturing opportunities to generate growth, PV Drilling achieved the positive results in 2023 with total asset about VND 21,000 billion, VND 5,900 billion in revenue and VND 400 billion in profit after tax, respectively increasing 10% and 300% compared to the plan.

This result not only contributes to the right direction on our business development strategy but also sets the solid foundation for PV Drilling to build 2024's business plan.

2024 is forecast quite positive with the average price of crude oil Brent over USD 93/barrel (EIA report - November, 2023) based on the ongoing OPEC+ production cuts and the conflicts between Russia and Ukraine and between Israel and Hamas. In the ASEAN region, rig supply and demand is becoming balanced when the demand and supply is gradually approaching with the respective numbers of 37.3 versus 40 rigs.

For business operation in 2024, PV Drilling has managed to find adequate jobs for the rig fleet; accordingly, all the rig fleet is planned to serve for drilling campaigns in overseas markets. PV Drilling also plans to expand services and increase market share in the ASEAN region and Middle East; in addition, the Corporation will invest in new rigs and modern machinery to boost business operation and meet market need; actively introducing "bundled services" to foreign clients; maintaining service quality; enhancing corporate governance, financial management, manpower training, digital transformation, corporate restructuring, expanding service provision in the field of renewable energy, etc.

At the conference, many presentations on drilling market outlook such as current drilling market, market forecast for 2024 - 2025, PV Drilling's business performance in 2023, issues on how to increase market share; develop services in the field of renewable energy and provide mechanical services to overseas were conducted.

Petrovietnam's Vice President Phan Tu Giang made a speech at the conference.

Making a directive speech, Petrovienam's Vice President Phan Tu Giang highly appreciated PV Drilling's business performance in 2023 as well as the efforts of the management in implementing corporate governance, well performing fluctuation management to achieve such excellent business performance in 2023 amid difficult economic context, especially very few jobs available in the domestic drilling market. In addition, the Vice President also appreciated the management's innovate thinking through their investment plan in rig and machinery in order to capture job opportunities during the strong growth period from 2024 onwards.

While Petrovietnam played an important role in the country's energy transition, Mr. Phan Tu Giang asked PV Drilling to take advantages of all valuable experiences, internal resources and infrastructures to participate in the supply chain of the renewable energy industry. Moreover, with the advantage of operation and maintenance in oil and gas projects, PV Drilling is definitely the most suitable for participating widely in this new field.

For drilling activity at the domestic coming projects, Petrovietnam completely trusts on PV Drilling's capability and commits to support the Corporation in supplying rigs and well technical services for large long-term projects; supply HWU service for programs of workover, P&A, etc.

Chairman of the BOD Mai The Toan reported at the conference.

Giving a speech in response, Chairman of the BOD Mai The Toan expressed his thanks to Petrovietnam's managements who have always followed, supported and given close directions based on actual business condition of PV Drilling as well as domestic and global drilling market conditions. The Chairman committed that the management and staff would, based on past achievements, continue to maintain the spirit of solidarity, consensus and efforts to realize the sustainable growth strategy. The Chairman would also like to continue to receive kind supports from Petrovietnam, especially in the upcoming investment activity so that the Corporation can timely enhance its competitive strengths and complete or even exceed all financial targets in the upcoming time.

The conference also witnessed the award ceremony when awarding Emulation flags and Certificates of Merit from the Commission for the Management of State Capital at Enterprises, Vietnam Oil and Gas Union for individuals, departments with outstanding achievements during period of 2018 - 2022.

Awarding the Emulation Flag of theCommission for the Management of State Capital at Enterprises(CMSC) to PVD Logging.

Awarding the Certificate of Merit from the Chairman of CMSC for Mr. Do Duc Hau - Manager of Casing & Tubing Running Service Dept., PVD Well Services.

Awarding the title of Emulation Employees from CMSC for 5 individuals.

Awarding Certificates of Merit from the Chairman of CMSC for 19 teams and 11 individuals with excellent achievements, period of 2021 - 2022.

AwardingCertificates of Merit from the Oil and Gas Union for 3 Sub - Unions.

PV Drilling's PR Team.