Vietnam News Service reported that PetroVietnam Gas Corporation, one of the three leading affiliates of state owned oil giant PetroVietnam, will make its initial public offering on the HCM City Stock Exchange in September 2010.

As per report, PetroVietnam Gas plans to sell shares in the IPO representing 10% of its equity of over VND 18.9 trillion. Shares representing another 15% interest will be offered directly to strategic investors. PetroVietnam is investigating potential strategic investors and will submit them to the government for approval.

Mr Huynh Richard Le Minh, deputy director of Viet Capital Securities Co, the firm consulting on the IPO said that as the leader in the gas industry, PV Gas has played an important role in ensuring national energy security and promised strong growing potential.

PV Gas supplies fuel to produce 40% of the nation's electrical output and 30% of its fertilizer and meets over 70% of liquefied petroleum gas demand nationwide.

Mr Bui Minh Tien deputy director at PV Gas said that PV Gas has targeted an annual revenue growth of 18% to 20% for the period of 2011-15. By 2015, the company was expected to reach VND 68.6 trillion in earnings and nearly VND 5.3 trillion in net profit.

PV Gas would invest VND 72.6 trillion in developing infrastructure and expanding its gas distribution market during the period, he added, noting that the company had business ties with prestigious foreign partners including BP, the US's ConocoPhillips and Chevron, Japan's Mitsui and Thailand's Pttep.

PV Gas reported earnings of VND 30 trillion in 2009 and posted a net profit of VND 3 trillion. It has estimated revenues of VND 40 trillion in 2010 and a profit of VND 4 trillion.

(Sourced from Vietnam News Service)