Attending the ceremony were representatives of the Government Office, Committee of State Capital Management at enterprises, Ministry of Industry and Trade. Petrovietnam was represented by Mr. Tran Sy Thanh, Member of the Party Central Committee, Chairman of the Board of Directors; Members of the Board of Directors and the Executive Management Board; heads of Divisions/ Administration Office; heads of such units as Petrovietnam Power Corporation (PV Power), PetroVietnam Ca Mau Fertilizer Joint Stock Company (PVCFC), PV Gas. Petronas was represented by Mr. Maliki Kamal Yasin, Vice President; Mr. Muhammad Zamri Jusoh, Vice Director of the Petroleum Operations Management Committee and heads of Divisions.

Overview of the signing ceremony

Representatives of Petrovietnam and Petronas signed the Head of Agreement in the presence of two sides’ leaders

In 2001, the Government of Vietnam decided to invest in the construction of Ca Mau Gas - Power - Fertilizer Complex in Khanh An Commune, U Minh District, Ca Mau Province with the demand for gas consumption of 2.2 billion m3/year. Ca Mau Gas - Power - Fertilizer Complex uses natural gas from Block PM3CAA in the overlapping area offshore Vietnam and Malaysia.

From 2007 up to now, the gas supply to this area includes the amount received under Petrovietnam's right and the amount compensation received from Petronas in the Contract for division of products of Block PM3CAA (PSC PM3CAA). With Petronas' close cooperation in the implementation of gas sales contract, Petrovietnam is always given priority to receive maximum gas amount needed in the dry season and Petronas supports to receive the excess gas in the rainy season. Therefore, during the past time, this modern complex has operated safely and stably, not only brought efficiency to Petrovietnam but also the economic and social significance for the Southwest region.

Mr. Nguyen Quoc Thap, Vice President of Petrovietnam delivers speech

It is expected that from late 2019, early 2020, after the Vietnamese side takes all the gas compensation amount received from Petronas, Ca Mau Gas - Power - Fertilizer Complex will only supplied with gas according to the Vietnamese’s right to receive, so there will be a shortage of more than 1 billion m3/ year compared to the demand of this area. Therefore, it is necessary to timely have additional gas sources for Ca Mau area to ensure energy security, investment and social environment of the Southwest region in general and the economic efficiency of Ca Mau Gas - Power – Fertilizer Complex in particular.

Mr. Maliki Kamal Yasin, Vice President of Petronas makes speech

Under the close guidance of the Government, the Ministry of Industry and Trade, relevant Ministries and Sectors, Petrovietnam and Petronas agreed to sign HOA for additional gas sales for Ca Mau area - Vietnam with the gas resources from Petronas’ right to receive according to PSC PM3CAA and from other gas sources of Malaysia. On the basis of the HOA signed on 15 March 2019, both sides will continue to negotiate the Gas Sales Contract to supply additional gas for Ca Mau Gas - Electricity – Fertilizer Complex to continue stable and efficient operation. Therefore, the signing of HOA not only reflects the vital meaning of Ca Mau Gas - Electricity - Fertilizer Complex but also ensures the socio - economic development of the Southwest region and contributes an important part to ensuring national energy security.

Petrovietnam presents souvenirs to Petronas

Speaking at the Signing Ceremony, Mr. Nguyen Quoc Thap, Petrovietnam Vice President thanked Petronas leaders, relevant agencies of Malaysia, as well as the agencies of Vietnam and the two sides' negotiation team for their effort to negotiate in months to reach the signature today. He affirmed that it was an important event, contributed to realizing and demonstrating the effective cooperation between Petrovietnam and Petronas; and the signature was also an important premise for the two sides to continue to complete the full contract for additional gas sale and purchase to serve the operation of Ca Mau Gas - Power - Fertilizer Complex. With the tradition of good cooperation as well as the results achieved in the HOA negotiation process, Petrovietnam wished that full agreement will soon be signed, preferably by the end of 2019 as a basis for implementation in early 2020.

Mr. Maliki Kamal Yasin, Petronas Vice President also thanked the Negotiation Team and the leaders of the two countries; at the same time, he confirmed the signature was a good first step for the two parties to sign the next contracts.

Petrovietnam Chairman of the Board of Directors Tran Sy Thanh talked with Petronas partner on the sidelines of the Signing Ceremony

The signing ceremony marks a new development in Petrovietnam and Petronas relations