AsemconnectVietnam - Petrovietnam (PVN) exploited 4.41 million tons of crude oil in the first 5 months of 2023; PVChem (PVC) poured VND60 billion to establish PVChem Industrial Technical Services Company; Petrosetco (PET) continues to record profit in April 2023, down 12.1%, reaching VND18 billion; PVTrans (PVT) estimated VND488 billion profits in the first 6 months of 2023; Petrolimex (PLX) target VND3,228 billion profit in 2023, up 42%.

Petrovietnam (PVN)
Vietnam Oil and Gas Group - Petrovietnam (PVN) has just announced the situation of production and business activities in May and the first 5 months of 2023.
According to information from Petrovietnam, crude oil exploitation in May 2023 reached 0.92 million tons, exceeding 15.6% of the monthly plan, increasing by 2.6% compared to April 2023 and equal to the level of the same period last year. 2022. In the first 5 months of 2023, crude oil exploitation of the whole group is estimated at 4.41 million tons, exceeding 13.7% of the plan and equaling 47.5% of the year plan.
In which, domestic crude oil exploitation reached 0.77 million tons, exceeding 18.5% of the monthly plan, up 3% compared to April 2023, up 0.8% over the same period in 2022. In 5 months, domestic crude oil exploitation reached 3.66 million tons, exceeding 16.3% of the 5-month plan, equaling 48.6% of the year plan.
Gas production in May 2023 is estimated at 0.73 billion m3, exceeding 24.5% of the plan, increasing by 0.6% compared to April 2023 and increasing by 78.5% over the same period in 2022. In the first 5 months of 2023, gas exploitation of the whole Group is estimated at 3.42 billion m3, exceeding 21.2% of the 5-month plan, equaling 57.6% of the whole year plan in 2023.
Regarding domestic petroleum production (including Nghi Son Refining and Petrochemical Company) in May, production reached 1.47 million tons, 50.4% higher than the monthly plan; increased by 12.3% compared to April 2023 and increased by 32.6% over the same period of 2022. In 5 months, petroleum production of all kinds reached 6.30 million tons, exceeding 26.5% of the 5-month plan, equaling 56% of the plan in 2023 and growing by 18.1% over the same period in 2022.
PVN said that, in the context of the current risk of electricity shortage for production and daily life of the country, with the completion of commercial power generation of Thai Binh 2 Thermal Power Plant, electricity production in the whole Petrovietnam has many positive points.
Accordingly, in May, Petrovietnam produced 2.77 billion kWh, equal to 100% of the monthly plan, up 7.8% compared to April 2023. Generally, in 5 months, the whole Group produced 10.03 billion kWh of commercial electricity, exceeding 1% of the 5-month plan, equaling 42.5% of the year plan and growing by 46.6% over the same period in 2022.
PVChem (PVC)
PetroVietnam Chemical and Services Corporation - JSC (PVChem, code PVC - HNX) has just announced the decision on the establishment of PVChem Industrial Technical Services Co., Ltd.
PVChem Industrial Engineering Services has a charter capital of VND60 billion. The new company's main business is repair of other equipment, namely repair and maintenance of machinery and equipment, oil and gas works, Refinery and Petrochemical Plants, Plants producing electricity, nitrogen, and gas; basic chemical production; manufacturing metal structures…
In 2023, this company sets a target of VND190 billion in revenue and VND6.8 billion in profit after tax. By 2025, PVChem Industrial Engineering Services expects charter capital to increase to VND140 billion, revenue and profit after tax to reach VND359 billion and VND14.36 billion, respectively.
PVChem said, establishing a subsidiary is necessary to implement PVChem's strategy to develop into a professional supplier inside and outside the oil and gas industry, focusing on areas such as: industrial engineering services, supply maintenance services for industrial works, providing services related to the environment.
Simultaneously, it is to improve the business initiative of the enterprise, creating conditions for the unit to be autonomous in participating in domestic and foreign bidding; favorable for the process of raising capital, attracting future investment of PVChem…
The subsidiary is expected to become a reputable and professional unit in the field of providing maintenance and repair services for industrial projects (priority is given to oil and gas projects in the later stages), industry products and services, environmental treatment services inside and outside the oil and gas industry.
At the same time, expanding the field of providing labor outsourcing services, gradually dominating the market; improving the dynamism of enterprises, creating a premise for research to expand the scale, develop and export industrial services to foreign countries….
Petrosetco (PET)
PetroVietnam General Services Corporation (Petrosetco, code PET - HOSE) continued to record declining business results in April 2023 and the first 4 months of 2023.
Specifically, Petrosetco has just announced an estimate of business results in April 2023 with revenue of VND1,585 billion, up 7.1% and pre-tax profit of VND18 billion, down 12.1% over the same period.
Notably, gross profit margin decreased from 4.5% to 4% and pre-tax profit margin decreased from 1.4% to 1.2%.
In terms of sectors, Petrosetco said that revenue from the phone industry contributed VND711 billion, up 11.4% over the same period; laptop industry reached VND299 billion, down 30.1% over the same period; other IT equipment reached VND271 billion, up 100.9% over the same period.
In the first 4 months of 2023, Petrosetco recorded revenue of VND5,831 billion, down 7.4% over the same period and pre-tax profit of VND70 billion, down 46.6% over the same period. Notably, pre-tax profit margin dropped sharply from 2.1% to only 1.2%.
PVTrans (PVT)
At the end of the first 6 months of 2023, PetroVietnam Transportation Corporation (PVTrans, code PVT - HOSE) recorded revenue, profit and paid to the State budget 6 months ahead of the plan.
Talking to a reporter from the Securities Investment Newspaper, a PVTrans representative shared a positive business picture compared to the plan set out at the beginning of the year.
Specifically, in the first 6 months of 2023, PVTrans estimated revenue of VND4,360 billion, equivalent to 134% of the first 6 months plan (VND3,244.2 billion plan) and achieved 64% of the annual revenue plan (plan VND6,800 billion).
Profit after tax in the first half of 2023 was recorded at VND488 billion, equaling 195% of the plan for the first 6 months of the year (the plan was VND250.2 billion) and achieved 91% of the profit plan of the year (the plan is VND538 billion profit); contributed VND239 billion to the state budget, 71% higher than the plan for the first 6 months of the year and at the same time achieved 81% of the year plan (the plan to pay the budget VND296 billion in 2023).
Regarding business activities, for the domestic market, Dung Quat Oil Refinery continues to operate stably at high capacity, sometimes at over 110% of design capacity, contributing to stabilizing the domestic market. After experiencing technical problems in the first half of January 2023 and the end of February - early March 2023 affecting the domestic petroleum supply, Nghi Son Refinery and Petrochemical Plant has resumed normal operation and operate at 100% capacity as committed.
As for the oil/chemical transport market, in the segment of chemical tankers with a tonnage of 13,000 - 20,000 DWT, the market is relatively stable and has recently tended to decrease slightly compared to the first period of 2023, overall remained at a higher level compared to the same period in 2022.
As for the LPG transport market, the market has been relatively stable compared to the end of 2022, going against the trend of low season at the beginning of the year mainly due to the sharp increase in LPG export volume from the US to Asia. Meanwhile, the freight rates of the VLGC train segments recorded significant growth, the coaster segment remained stable with a slight increase in freight rates compared to the same period in 2022.
As for the bulk transport market, the bulk freight market started showing signs of recovery from February 2023 but turned down slightly from the second half of the second quarter of 2023 due to the real estate market situation. China remains stagnant, growing slower than expected. Accordingly, freight rates in most segments are still much lower than in the same period in 2022.
Regarding investment activities, PVTrans is actively implementing investment procedures for 1 oil/chemical tanker of about 20,000 DWT (expected to receive the ship in July 2023), 2 MR tankers, 1 VLGC and 1 Supramex type bulk carrier as planned.
In addition, member units are also monitoring and updating the market and implementing planned investments.
In which, NVTrans Company has completed the bareboat charter procedure, put into operation 1 3,500 CBM LPG tanker, 1 28,000 DWT bulk carrier in the first quarter of 2023, and is implementing investment procedures for 1 VLGC vessel. (expected to receive ships in July 2023) and bareboot 2 tankers with a tonnage of about 20,000 DWT (expected to receive ships in July 2023).
Phuong Dong Viet Company completed investment procedures to purchase oil/chemical vessels of about 20,000 DWT in May 2023; PVTrans Pacific Company is carrying out procedures to invest in 1 MR tanker (expected to receive in June 2023).
Petrolimex (PLX)
On June 26, Vietnam National Petroleum Group (Petrolimex – code PLX) held its annual General Meeting of Shareholders in 2023 and approved a profit target to increase 42%.
Specifically, PLX approved the output target of 12.95 million tons, down 7% compared to 2022. Consolidated revenue of the Group reached VND190,000 billion, down 38% compared to 2022, but consolidated profit before tax reached VND3,228 billion, up 42% compared to 2022. Expected dividend payout ratio is at least 10%.
Explaining the prudent revenue planning, Mr. Tran Ngoc Nam, Deputy General Director of PLX, shared that one of the objective factors is 2022, when the conflict between Russia and Ukraine has a serious impact on the consumer market. For domestic consumption, many traders and small clues restrict the import of goods; even some key traders have their licenses revoked because of violations, leading to inability to perform their functions.
In the context of high loss in petroleum business, PLX had to make efforts to ensure the stability of national energy security, so the sales volume in 2022 is very high. In 2023, the Group determines that business conditions can return to normal, and the plan is also based on this criterion.
The revenue target will be based on sales volume and forecast of price fluctuations in 2023. In addition, PLX also consults crude oil price to set targets. Meanwhile, profit from other segments must be based on 2022 results and 2023 forecast related to gasoline prices and the amendment of Decree 95 on petroleum trading.
Shareholders also questioned the expansion strategy of petrol stations, whether to open a new one or receive a transfer, Mr. Tran Ngoc Nam said, Petrolimex will consider investing when there are opportunities. But the principle is that the investment must be effective, both buying and selling. PLX will choose the appropriate plan from time to time.
As planned, by the end of 2023, PLX will have 65 stores with a balance between buying new, renewing or subleasing depending on the locality and the most efficient for Petrolimex. Up to now, the investment rate of the Company is about 50%.
N.Nga
Source: VITIC/Tinnhanhchungkhoan