Vietnam's gas industry targets doubling output by year 2035
The Vietnamese gas industry aims to double its exploitation output to reach as much as 21 billion cubic metres by 2035, according to a master plan approved by Prime Minister Nguyen Xuan Phuc early this week.
The current output of roughly 11 billion cubic metres will be maintained to 2020 and pushed up to 19 billion cubic metres by 2025 and 21 billion cubic metres by 2035.
Vietnam also plans to import 1-4 billion cubic metres of liquefied natural gas (LNG) from 2021-25 and 6-10 billion cubic metres from 2026-35.
The master plan estimates that the gas industry would need US$10.6 billion for 2025 and another $8.5 billion in the next 10-year period to develop gas pipelines, stations, compressed natural gas and LNG plants and LNG warehouses.
Vietnam will encourage investment in the gas industry while State capital will be used to build infrastructure.
International co-operation will also be promoted to attract investment from multinational oil and gas groups, according to the master plan. It also says that incentives will be developed to encourage investment in producing LNG overseas for distribution in Vietnam.
Under the plan, a database will also be built with regular updates, especially in gas reserves, together with the application of technology to improve exploitation efficiency and prevent waste of natural resources.
About 80% of the total gas output is expected to be used for electricity generation.
In addition, gas consumption is set to expand in industrial production and transport to protect the environment.