Yinson Launches Floating Storage Unit for Vietnam Oil Field
Yinson Production, a subsidiary of Yinson Holdings based in Kuala Lumpur, has successfully launched a floating storage and offloading (FSO) unit intended for the Lac Da Vang oil field off the coast of Vietnam. The ceremony took place on February 6, 2026, at Nantong Strongwind Shipyard in China, marking a significant milestone in the project’s timeline. This development comes nearly a year after the initial steel-cutting ceremony and keel laying, showcasing the project’s progress into the delivery phase.
Collaboration Fuels Project Progress
The launch event was attended by key stakeholders, including Murphy Cuu Long BacOil, PTSC Asia Pacific, ABS, and Titan Wind Offshore, highlighting the strong collaboration that has driven the project forward. The FSO unit, named LDV FSO, is set to be deployed at the Lac Da Vang oil field located in Block 15-1/05 offshore Vietnam. The project is a joint venture between Yinson Production and PetroVietnam Technical Services Corporation (PTSC), which was awarded the contract for the provision, charter, operation, and maintenance of the FSO in December 2024.
According to OceanSTAR Elite Group, the builder of the FSO, the project is progressing ahead of schedule, thanks to effective teamwork among all involved parties. The group expressed gratitude to its partners for their ongoing support as they work towards successful project delivery. The LDV FSO, developed under the engineering, procurement, construction, and commissioning (EPCC) model, boasts a storage capacity of 460,000 barrels. It is designed to enhance operational efficiency while promoting sustainable offshore oilfield operations.
The FSO is expected to be delivered in mid-2026. The project team has achieved an impressive safety milestone, recording zero lost time injuries (0 LTI) over 1.2 million man-hours, underscoring their commitment to safety and operational excellence. The Lac Da Vang field is estimated to contain 100 million barrels of oil equivalent (mmboe) in gross resources, with peak production rates projected at 30 to 40 mboepd gross and 10 to 15 mboepd net.
Key Players in the Lac Da Vang Project
Murphy Oil operates Block 15-1/05 in the Cuu Long Basin, holding a 40% working interest. Its partners in this venture include PetroVietnam Exploration Production and SK Earthon, which hold 35% and 25% interests, respectively. This collaborative effort aims to maximize the potential of the Lac Da Vang oil field, contributing significantly to the region’s energy landscape.
As the project moves forward, the successful launch of the LDV FSO marks a pivotal step in enhancing Vietnam’s offshore oil production capabilities, reinforcing the importance of international partnerships in the energy sector.
