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Mumbai: Business conglomerate Essar Group is looking to expand its investment in Vietnam and is exploring opportunities for potential collaboration in the energy sector.
Ravi Ruia and Prashant Ruia along with an Essar delegation have met the chairman of the National Assembly of Vietnam, H.E. Vuong Dinh Hue, Deputy Prime Minister of Vietnam, Dr Le Manh Hung (president and CEO of Petrovietnam) and members of their senior level delegation of Vietnam discuss the investments of Essar group and potential collaboration and business opportunities in the country.
Essar Exploration and Production Ltd (EEPL) and ENI already have a significant investment in Block 114, located in offshore area of Central Vietnam. Significant oil and gas discovery was announced in this block which is the largest hydrocarbon find in SE Asia spanning two decades.
The block has approximately 2 billion barrels of oil and gas resource. Having invested over $300 million in block 114, Essar and ENI are committed to fast track development of the Ken-Bau basin, whilst exploring for more hydrocarbon in Dan Day basin and other prospects.
Development of the block 114 is of utmost importance for energy interests of Vietnam. The commercial production of gas and condensate from this block will be a key strategic benefit for the central region of Vietnam.
India’s economic relationship with Vietnam has been strong with great developments over the past few years.
During the meeting, chairman of the Vietnam National Assembly H.E. Hue greeted Essar for its continued investment in Vietnam and called on to further increase the investments. H.E. Hue affirmed that “Vietnam supports and will create conditions for Indian companies to continue their long term presence and expand operations related to oil and gas exploration and exploitation in its continental shelf."
Prashant Ruia, director, Essar Capital said, “We are extremely excited about our business partnerships with Vietnam. The bilateral trade between both the countries has been steadily growing over the past two decades. Essar is committed to the development of block 114, making it a significant resource for oil and gas in Vietnam’s economy. We are confident that this block will provide strong impetus for Vietnam to become self-sufficient in its energy requirements in the future’’.
