Steel cutting ceremony

Wedoany.com Report-Feb 26, Yinson Production, part of Kuala Lumpur-based Yinson Holdings, along with its partners, conducted a steel-cutting ceremony for a floating storage and offloading (FSO) unit on February 22, 2025. This unit is intended for the Lac Da Vang oil field offshore Vietnam. The event took place at Nantong Strongwind Shipyard in Tongzhou Bay, China, and Yinson noted it as a significant step toward enhancing Vietnam’s energy security.

Attendees included representatives from PTSC Asia Pacific, Murphy Cuu Long Bac Oil Company, Nantong Municipal Government, Titan Wind Offshore, and ABS. Yinson stated that the FSO, designed for low-carbon operations with a capacity of 500,000 barrels, is slated to begin operations by the fourth quarter of 2026. OceanSTAR Elite Group, the builder, highlighted that the project employs advanced technologies, utilizing platform-associated gas and improving energy efficiency to lower operational expenses.

In December 2024, PTSC Asia Pacific—a joint venture between Yinson Production and PetroVietnam Technical Services Corporation (PTSC)—secured a contract for the FSO’s provision, charter, operation, and maintenance. Murphy Oil operates Block 15-1/05 in the Cuu Long Basin, holding a 40% interest, while PetroVietnam Exploration Production and SK Earthon own 35% and 25%, respectively.

The Lac Da Vang field is estimated to yield 100 million barrels of oil equivalent in total recoverable resources, with a peak gross production of 30 to 40 thousand barrels of oil equivalent per day and a net peak of 10 to 15 thousand barrels per day. The FSO’s delivery aligns with Murphy’s schedule for first oil in 2026, with development continuing in phases through 2029.

Separately, Murphy Oil reported a discovery last month at the Hai Su Vang field, also in the Cuu Long Basin. The Hai Su Vang-1X exploration well revealed approximately 112 meters of net oil pay across two reservoirs.

The project reflects a collaborative effort to advance energy infrastructure in the region, with the FSO expected to support efficient and sustainable operations at the Lac Da Vang field once completed.