PARIS -- Total has received approval from the Vietnamese government to acquire 35% interest in the production-sharing contract for offshore exploration block 15-1/05. Partners in the block include operator PetroVietnam Exploration and Production, with 40% interest, and South Korea's and SK Corp., with 25% interest.
The 3,840-sq-km (1,483-sq-mi) block 15-1/05 lies 40 km (25 mi) offshore in 40 m (131 ft) water depth in the Cuu Long basin near the Su Tu Den, Su Tu Vang, Su Tu Trang, and Su Tu Nau discoveries. Some 2D seismic surveys have been conducted on the block.
Under the terms of the contract negotiated with PetroVietnam, Phase 1 exploration will be launched before the end of the year and will include 800 sq km (309 sq mi) of 3D seismic acquisition and two wells.
The agreement also calls for stepped up international cooperation between PetroVietnam and Total, particularly in exploration.
Total's entry into Vietnam is in line with its strategy of diversifying its assets in the Asia-Pacific region, the company says.