MOBIL CONFIRMS VIET NAM FARMOUT

Mobil Oil Corp. is poised to become the first U.S. company to participate in a Vietnamese project since the end of the Viet Nam war.

The company agreed to acquire a farmout of a block off Viet Nam held by a joint venture of Japan's Arabian Oil Co. (AOC) and Teikoku Oil Co., Tokyo, if and when the U.S. embargo on trade with Viet Nam is lifted. It follows the easing of sanctions by the administration of President Bush late last year. Expectations are the U.S. will lift the embargo entirely this year. Mobil would acquire a 25% interest in the block, currently held by AOC 55% and Teikoku 45%. The AOC unit and Teikoku acquired Block 05-3 under a production sharing contract with state owned Petrovietnam last year (see map, OGJ, June 15,1992, p. 28). Mobil in 1975 discovered White Tiger oil field, later developed by a Soviet-Vietnamese joint venture and now producing more than 100,000 b/d.

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