Petronas expands energy ties, eyes new investment opportunities in Vietnam
VOV.VN - Malaysia’s Petroliam Nasional Berhad (Petronas) is looking to deepen its partnership with Vietnam National Industry – Energy Group (Petrovietnam), with cooperation spanning oil and gas exploration and production, liquefied natural gas (LNG) supplies and renewable energy to help meet Vietnam’s growing energy de
Aimy Zairin Mohamed, Petronas Country Chairman for Vietnam, outlined the group’s plans at a press briefing in Ho Chi Minh City on October 20, highlighting opportunities to expand collaboration across established and emerging energy sectors.
The partnership is expected to build on existing oil and gas operations while exploring new resources and diversifying energy supplies. Renewable energy, hydrogen, carbon capture and storage (CCS), innovation and digital transformation are also among the areas identified for closer cooperation.
According to the executive, Petronas and Petrovietnam will continue working together to explore and develop hydrocarbon resources, including through the PM3 Commercial Arrangement Area (PM3 CAA), which straddles the maritime boundary between Vietnam and Malaysia.
A key agreement signed in April 2025 provides for a 20-year extension of the production-sharing contract and upstream gas sales agreement for the area, through 2047. The PM3 CAA is estimated to hold up to 60 million barrels of oil equivalent in remaining reserves, while gas produced there is transported to Vietnam through the Ca Mau gas pipeline system.
Beyond existing operations, the two groups have been implementing a joint technical study agreement since April 2025 to assess hydrocarbon exploration potential in several offshore blocks through geological and geophysical analysis.
Petronas is also seeking opportunities to develop additional resources, including projects in Blocks 102 and 106 offshore in the Song Hong Basin. These efforts form part of the broader scope for cooperation as the two groups explore opportunities to develop Vietnam’s energy resources.
LNG is another important component of the partnership. In April 2025, Petronas delivered its first LNG cargo to PetroVietnam Gas Joint Stock Corporation (PV GAS), supplementing domestic gas supplies and helping meet electricity and fuel demand from industrial customers.
Mohamed said Petronas would continue working with its partners to explore oil and gas resources in Vietnam’s sedimentary basins. The group’s LNG supply capacity and the proximity of supply sources to the Vietnamese market could also help address rising demand amid constraints on supply.
In addition to conventional energy and LNG, renewable energy is emerging as another area for closer cooperation. Under a Strategic Alliance Agreement (SAA), Petronas and Petrovietnam aim to expand collaboration into renewable energy, hydrogen, CCS, innovation and digital transformation.
The Vietnam–Malaysia–Singapore (VMS) project is one concrete example of this cooperation. In May 2025, the parties signed a joint development agreement to study the feasibility of exporting electricity generated from Vietnam’s renewable energy resources to Malaysia and Singapore.
The project focuses on offshore wind potential, with a proposed subsea cable transmission route connecting to the power grid on the Malay Peninsula.
Petrovietnam exceeds targets across all six key business indicators
The Vietnam National Industry - Energy Group (Petrovietnam) outperformed all six of its core production and business targets in the first four months of 2026, reinforcing its role as a key pillar of national energy security amid continued volatility in global energy markets.
