JOGMEC, Idemitsu sign research contract with PetroVietnam

21, Feb. 2020

Photo by Grant Durr on Unsplash
Photo by Grant Durr on Unsplash

HANOI, NNA - Japan Oil, Gas and Metals National Corp., and the country’s oil refiner Idemitsu Kosan Co. have signed a contract with state-owned PetroVietnam Exploration Production Corp. to conduct basic exploration research for oil and gas in an area of the Vietnam ocean.

The government-backed JOGMEC expects the agreement, dated Feb. 4, will foster a closer relationship between Japan and Vietnam. Terms of the contract with the group arm of Vietnam Oil & Gas Group, such as a length, were not disclosed.

Upon discovery of a potential source of oil and gas, the research will take the three-way partnership a step further toward discussing the acquisition of mining properties, JOGMEC said in a statement released on Wednesday.

JOGMEC also expects that Idemitsu’s experience with exploration projects for oil and gas in Vietnam since the early 1990s will support the Japanese-Vietnamese joint research in the Southeast Asian country.

Japan has diversified sources of oil from the Middle East to Asian countries, including Vietnam and Indonesia, a JOGMEC spokesman told NNA on Friday.

He added that starting several years ago, Tokyo’s mineral resources exploration body also has expanded into power generation projects such as geothermal other than oil and gas.