PV GAS successfully organizes the Annual General Meeting of Shareholders in 2022
On April 15, in Ho Chi Minh City, Petrovietnam Gas Joint Stock Corporation (PV GAS) held the Annual General Meeting of Shareholders in 2022 to report its full-year 2021 operation results, discuss and vote on the 2022 plan as well as other important issues under the decision-making authority from the meeting.
The meeting was attended by Mr. Le Manh Hung – General Director; and Mr. Pham Xuan Canh – Member of the Board of Directors at Vietnam Oil and Gas Group (Petrovietnam).
PV GAS leaders operating the meeting included: Mr. Duong Manh Son - Chairman of the Board of Directors (BOD); Mr. Hoang Van Quang - Member of the BOD and General Director, and Mrs. Vo Thi Thanh Ngoc - Member of BOD.
Reporting to shareholders at the meeting, PV GAS leaders said: In 2021, while the prices of oil and CP increased against the planned ones, PV GAS production and business had to face unprecedented difficulties at the same time, especially the COVID-19 outbreak’s unpredictable and prolonged fourth wave in the country since the end of last April, leading to significantly decreasing the gas demand for power production and industries (EVN’s gas mobilization only reached 69% of the plan, equivalent to 76% of the year 2020. The gas consumption demand of industrial households at one point decreased by 25-30%. The domestic LPG consumption decreased by 35-40 percent), and causing great influence on the production, business and investment at PV GAS. More upstream incidents were occurring. Mechanisms and policies related to the gas industry’s development was not amended and issued in line with the new situation,...
Despite facing many disadvantages, with the motto "Solidarity - Innovation - Professionalism - Action", PV GAS Management Board and all employees have always been united, innovative in their thought and professional in their action, taken advantage of opportunities, drastically, synchronously and effectively deployed solutions, successfully fulfilled the tasks and achieved targets in the Resolution approved by the meeting.
In 2021, all gas systems/works of PV GAS were operated safely and efficiently, supplying gas continuously; maintaining effective measures to prevent, curb and control the COVID-19 pandemic in line with the new regulations and situations. Especially, PV GAS successfully put the floating refrigerated LPG storage vessels into operation in Thai Binh in July 2021. Production and trade of more than 2 million tons of LPG were completed 2 months ahead of schedule. That was the year with the highest LPG trading volume since PV GAS was established. PV GAS continued to maintain a stable gas supply to produce nearly 15% of electricity output, 70% of protein, and to meet nearly 70% of the whole country’s LPG market share.
All financial targets in 2021 exceeded the plan by 14-79% and increased against 2020 (with the revenue of more than VND 80 trillion, the largest revenue since PV GAS establishment, the profit before tax of more than VND11 trillion, the post-tax profit of nearly VND9 trillion, the contribution to the State budget of more than VND6 trillion). PV GAS was the top unit with positive financial ratios in Petrovietnam (ROE reached 17%, 11% for ROA) and the top ones with large market capitalization (total assets worth nearly VND79 trillion), and high annual dividend payout ratio in cash.
Despite facing many difficulties in the implementation of projects due to the prolonged social distancing period and the compliance of regulations on COVID-19 prevention and control, PV GAS projects continued to be carried out in 2021. The total amount of disbursed money for construction and investment of the parent company reached VND 4.7 trillion, equivalent to 76% of the year plan (if only projects directly carried/operated by PV GAS were included, except Block B-O Mon gas pipeline projects, PV GAS disbursed 112% of the planned capital); The total amount of money, which the whole PV GAS disbursed, reached VND5.3 trillion.
In 2022, the global economy has to face the biggest energy supply shock ever as the escalating geopolitical tensions between Russia and Ukraine has developed into armed conflict. Moreover, countries and the major organizations in the world are placing a series of financial sanctions on Russia, leading to other socio-economic upheavals. The pandemic remains complex evolution, affecting many aspects of PV GAS activities. The implementation of projects faces many difficulties. In the market, it has come up against increasingly fierce competition;... Facing that situation, PV GAS offers solutions to respond and sets targets for 2022 with: total revenue of more than VND 80 trillion; the profit before tax of VND8.8 trillion; the post-tax profit of VND7.1 trillion; the contribution to the State budget of VND4.1 trillion. Along with that, in 2022, PV GAS expects to complete the construction and put the LNG 1 MMTPA Warehouse Project in Thi Vai and its component projects into operation; to develop domestic and foreign gas/LNG and gas products consumption markets; to enhance seeking investment opportunities/investment in LNG/LPG warehouses in the Northern region;...
In the meeting, PV GAS shareholders and leaders spent time on discussing, exchanging and clarifying relevant contents. Most of the comments were around the PV GAS development strategy in the coming time, the plan on importing LNG, the progress of investment and construction projects, and the production and business situation in 2022. In the explanation for shareholders, the PV GAS Board of Directors affirmed that they would get the opinions of shareholders, build and sustainably develop the PV GAS brand, and carry out the Gas Industry Development Strategy in an effort to harmoniously ensure interests of the state and shareholders.
The General Meeting of Shareholders approved all the presented contents with the rate from 99% to 100%. Among them, it approved the profit-sharing plan and cash dividend in 2021 at 30% of charter capital (VND3,000/share), an increase of 5% compared to the plan; the 2022 cash dividend plan at 25% of charter capital (VND2,500 VND/share).
The representative of the major shareholder at PV GAS which is the Vietnam Oil and Gas Group, Mr. Le Manh Hung - General Director of Petrovietnam affirmed that the Group highly appreciated efforts of PV GAS in exceeding the production and business targets in 2021. As the major shareholder, Petrovietnam committed to accompany PV GAS to support and create conditions to successfully fulfill its set targets.