Lac Da Vang (LDV) is an offshore conventional oil field being developed in the Cuu Long Basin of Vietnam.
The offshore field was discovered in 2010. It is estimated to contain gross resources of 80-100 million barrels of oil equivalent.
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The Final Investment Decision (FID) on the project was taken in November 2023 with an investment scale of $693m.
The official fabrication of the central complex platform (Lac Da Vang- A) for the initial phase of the project (Lac Da Vang Phase 1A) began in October 2024 with the first-cut ceremony.
The field is expected to commence production in the fourth quarter (Q4) of 2026. At peak, the field is expected to produce 30,000 to 40,000 barrels of oil equivalent per day.
Lac Da Vang Oil Field Location and Ownership Details
The Lac Da Vang oil field is located in Southeast continental shell of Vietnam in Block 15-1/05 of the Cuu Long Basin, approximately 120km east of the city of Vung Tau.
The field lies in shallow water with water depth of around 157ft.
Murphy Oil, a US-based hydrocarbon exploration company, operates Block 15-1/05 with 40% interest via its Vietnamese subsidiary Murphy Cuu Long Bac Oil (MCB).
PetroVietnam Exploration Production (PVEP, 35%), an upstream company of PetroVietnam, and SK Earthon (25%) are the other partners.
Background
Murphy, PVEP, and SK signed the signed an agreement completing the transfer of rights to participate in PSC block 15-1/05 in April 2017.
Murphy Oil signed a farm-in agreement in August 2015 to acquire 35% of Block 15-1/05. It became the operator of the block in March 2018 became the operator and increased its working interest to 40%.
Declaration of Commerciality for the Lac Da Vang oilfield was made in January 2019, followed by the approval of the Outline Development Plan in August 2019.
In the same year, Murphy drilled the LDT-1X exploration well at block 15-1/05 discovering oil. The well was added into the development phase of the adjacent Lac Da Vang field.
In September 2023, Murphy Oil secured green light from the Vietnamese government to advance a field development plan at the offshore oilfield.
Lac Da Vang Field Development
The Lac Da Vang Project will be developed in phases.
The initial development of the field will involve drilling wells, an offshore platform Lac Da Vang- A, a crude oil export pipeline, and a Floating Storage and Offloading (FSO) vessel.
The Lac Da Vang- A Platform, as a central complex platform, will consist of topsides with two modules, and a flare boom.
The platform will weigh more than 6,000 metric tonnes. The jackets and monopiles of the platform will weigh over 4,500 metric tonnes.
Crude Oil recovered from the wells will be processed by the platform to export quality standards and then transports it to the FSO vessel via a crude oil export pipeline.
The FSO, a newbuild double-hull vessel with a storage capacity of around 500,000 barrels, will store oil and the offload it for further deliveries. The vessel will be equipped with an advanced dual-fuel system for increased efficiency.
The development of the Lac Da Vang Field project will continue through 2029.
Contractors Involved
In May 2024, Vietnamese turn-key contractor PetroVietnam Technical Services Mechanical & Construction (PTSC M&C) secured key Engineering, Procurement, Construction, Installation, and Commissioning (EPCIC) contract for the Lac Da Vang Oil Field Development Project.
The scope of the contract includes complete detailed engineering, procurement, construction, transportation, installation, hook-up, and commissioning of the LDV-A platform.
Majority of the works on the platform will be carried out at the PTSC M&C’s fabrication yard in Vung Tau City.
In December 2024, PTSC Asia Pacific, a joint venture of a Singapore based FPSO solutions provider Yinson Production (49%) and PTSC (51%), received the contract to deliver the FSO vessel for the project.
The contract, which carries a firm period of ten years with a 5-year extension option, can value up to approximately $416m.
The construction of the vessel will take two years.
