Application and procedures for assessment, approval for detailed outline and expenditure estimates of petroleum screening schemes in Vietnam

Application and procedures for assessment, approval for detailed outline and expenditure estimates of petroleum screening schemes in Vietnam (Internet image)

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1. Application and procedures for assessment, approval for detailed outline and expenditure estimates of petroleum screening schemes in Vietnam

Application and procedures for assessment, approval for detailed outline and expenditure estimates of petroleum screening schemes in Vietnam according to Article 5 of Decree 45/2023/ND-CP are as follows:

- Detailed outline and estimates of petroleum screening schemes shall contain:

+ Legal basis and scientific reasoning of the schemes;

+ Area of screening (geography location, coordinates, and area of screening);

+ Natural geography, socio-economic characteristics of screening area;

+ Technical documents serving as the basis for the schemes;

+ Subjects, objectives, and tasks of the schemes;

+ Technical solutions and expected workload; technical standards, regulations, economic and technical norms (if any) expected to be applied during scheme execution;

+ Expected results and products upon completion of the schemes;

+ Execution plans and progress;

+ Funding sources and expenditure estimates;

+ Plans for cooperating with relevant organizations and individuals in implementation if proposed petroleum screening schemes have been handed over or have reached geological screening or mineral prospecting, extraction phase during implementation in accordance with mineral laws.

+ Other details (if any).

- Within 60 days from the date on which notice of the Ministry of Industry and Trade under Point a Clause 7 Article 3 of Decree 45/2023/ND-CP is received, on the basis of detailed outline and expenditure estimates of petroleum screening produced by presiding organizations and counseled by the PVN, presiding organizations shall submit 2 sets of documents (1 set of original documents and 1 set of copies) to the Ministry of Industry and Trade directly or via post service to request approval for detailed outline and expenditure estimates on scheme execution. The documents consist of:

+ Request for approval for detailed outline and expenditure estimates on petroleum screening;

+ Detailed outline and expenditure estimates of the schemes under Clause 1 of Article 5 of Decree 45/2023/ND-CP; appendices, drawings, attachments (if any);

+ Notice sent by the Ministry of Finance to presiding organizations;

+ Documents verifying funding sources of the schemes if funding for execution of petroleum screening schemes utilizes state budget in a manner that adheres to budget allocation rules, criteria, and norms from time to time approved by competent authority;

+ Feedback of the PVN pertaining to detailed outline and expenditure estimates of petroleum screening schemes produced by presiding organizations; documents on acknowledgement and presentation produced by presiding organizations (if any);

+ Draft agreements between the PVN and presiding organizations other than state authorities and state-owned enterprises in case of Point b Clause 3 Article 10 of the Law on Petroleum 2022, which contain: screening area; rights and obligations of PVN and presiding organizations during scheme execution; commitment of presiding organizations pertaining to storage and preservation of samples, documents, information, and data during scheme execution; general clauses of the agreements;

+ Other relevant documents.

- Assessment of detailed outline and expenditure estimates of petroleum screening shall be done by assessment council. The Minister of Industry and Trade shall promulgate decision on establishment and operating regulations of assessment council (including representatives of relevant ministries, central departments) and teams of experts assisting the assessment council.

- Within 45 days from the date on which adequate documents are received, assessment councils shall assess detailed outline and expenditure estimates and request the Minister of Industry and Trade to review and approve.

- Within 5 working days from the date on which written assessment sent by assessment council is received, the Ministry of Industry and Trade shall issue decisions approving detailed outline and expenditure estimates of petroleum screening schemes.

2. Eligibility of presiding organizations of petroleum screening

According to Article 4 of Decree 45/2023/ND-CP, presiding organizations of petroleum screening must be financially, technically capable and experienced in conducting petroleum screening and satisfy eligibility below:

- They must prove sufficient financial capability to conduct petroleum screening via one or multiple methods simultaneously below:

+ By their resources or parent company guarantee;

+ Guarantee or funding, sponsor commitment of credit institutions, financial institutions.

- They must have solutions for mobilizing machinery, equipment, and personnel meeting technical requirements for execution of the schemes.

- They have participated in at least 1 petroleum screening scheme or 1 geological screening scheme or 1 petroleum contract.

- They have committed to national defense and security requirements as per the law and are not being suspended from conducting petroleum screening or petroleum operation.

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