| Author | Dinh Trong Huy |
| Note | A project submitted in partial fulfillment of the requirement for the Degree of Master of Business Administration (Executive) in International Business – Management of Technology (VN) |
| Publisher | Asian Institute of Technology |
| Abstract | During the year of 2014, the world has experienced oil prices falling of under USD 50 per barrel after nearly five years of stability. A drop in the oil price has made a tremendous impact to the world economy, including the economy of Vietnam. Vietnam exports about 8 - 9 million tons of crude oil annually. Export value of crude oil accounted for 20-25% of the total export value of the country. According to the Vietnam Ministry of Finance, one US Dollar decrease in the crude oil price may equal to the loss of around USD 50 million in the State Budget. The crude oil price, which fell to their lowest level within the last 6 years decreased Vietnam National Oil and Gas Group’s (PetroVietnam) income in 2014 and execution of investment projects in the period of 2015 - 2016. For PetroVietnam Exploration and Production Corporation (PVEP) - a wholly owned subsidiary of PetroVietnam, the sharply reduction in crude oil price affects the fulfillment of financial targets, capital availability as well as the long term plan for field development, production and increasing the reserve of the Company. In this thesis, the analysis of PVEP’s oil exploration and production activities has been performed with purpose of analyzing the fall in the price of crude oil would significantly influence this Company. The strategies PVEP practice in this situation is analyzed. The company has drawn up several business plans to cope with the difficulties. Projects and exploiting the oil fields, which have high exploitation costs, are stopped. Developing of new oil fields is postponed. Measures to reduce company production costs are implemented. |
| Year | 2015 |
| Type | Project |
| School | School of Management (SOM) |
| Department | Other Field of Studies (No Department) |
| Academic Program/FoS | Master of Business Administration (Executive) in International Business - Management of Technology (VN/BKK)) |
| Chairperson(s) | Swierczek, Fredric W.;Huynh Trung Luong; |
| Examination Committee(s) | Bechter, Clements ;Tritos Laosirihongthong ; |
| Scholarship Donor(s) | Petro Vietnam ; |