DMC with the method of “business rotation”

With the role of a leading supplier of fluids and chemical products serving for exploring and exploiting petroleum in Vietnam, DMC has been suffered strongly from manufacturing oil price crisis. Products used for drilling and exploiting activities such as Barite, G cement, Bentonite API, domestic Bentonite, and so on have been consumed slowly because of the decreasing demand of petroleum activities. Therefore, in the first six months of 2017, DMC applied reasonable selling methods helping limit inventories and get business activity at the safe mode with the revenue of 764 billion VND which reached 126 % of six-month plan and 106% compared with the same period of 2016. Profit was 15.5 billion VND which accounted for 123 % of six-month plan. Moreover, DMC also minimized storage, transportation and management costs boosting the business of chemical petroleum products such as plastic beads, sulfur (accounting for 85.7 % of the total business revenue) as well as signed more contracts of supplying goods in the next months.
Besides, DMC has still remained its business market of drilling fluids for the exploring and exploiting field, exploiting drills of Vietsovpetro (VSP) as well as expanded chemical field for power plants in the petroleum industry such as VungAng 1 Thermal Power Plant, Long Hau 2 Thermal Power Plant Project, and so on. Especially, DMC has implemented the supply of petrochemical refinery chemicals for JGSC from Nghi Son Petrochemical Refinery Complex Project creating the opportunity of supplying professional catalysts for refinery plants in Viet Nam.
 

Cleaning pipelines service in the Package No.5 – Overall Maintenance of Dung Quat Refinery Plant
 

Industrial technical service of DMC has also been the field with a good growth rate. It is estimated that in the first six months of 2017, the revenue of this field reached 151 billion VND (accounting for 168% of six-month plan and 431% compared to the same period of 2016). This is a strong point in the rotation process of DMC. In that process, each type of service has gained significant achievements. For instance, for Cleaning service, DMC completed contracts related to Nghi Son Petrochemical Refinery Complex Project, Dung Quat Refinery Plant, VSP and Vinh Tan 4 Thermal Power Plant; for Environment Treatment service, DMC completed some service contracts with Nghi Son Refinery Plant Project, 03 contracts of supplying consulting service on environment treatment for Song Hau 1 Thermal Power Plant Project and signed a contract of supplying waste collection and treatment service for Nghi Son Petrochemical Refinery Complex Project with the cost of 14 billion VND.
In terms of industrial services serving for following projects and PVN power plants, DMC also accomplished contracts of “supplying and installing scraffolds for the construction of Nghi Son Refinery Plant” and “rental service of air compressors and dryers in the testing process of Nghi Son Refinery Plant. Especially, DMC has implemented the Package No.5 – Maintenance Service for Offsite 2 of Dung Quat Refinery Plant in the third overall maintenance. This is one of the most important projects that DMC has taken part in with the role of general contractor. DMC has expressed its high determination to complete successfully this package and confirm its reputation and brand in the field of industrial technical service.
In the current period, DMC has gradually developed facilities and mobilized human resources to enhance its market in the petroleum industry such as Dung Quat Refinery Plant, Long Son Refinery Plant Project, and so on. Simultaneously, DMC has also actively exploited other industries’ markets such as O&M on waste water treatment for beer and wine factories to name a few to improve the amount of completed works and the revenue of this service.
For drilling fluids service, because petroleum contractors such as PVEP POC, PVEP, PVEP Song Hong have still not reactivated drilling activities, the amount of tasks in this field has been at a low rate leading to the factthatthe revenue of first six months in 2017 just reached 366 billion VND (about 99% of the plan). However, in May 2017, VSP increased the amount of drilling wells; therefore, DMC has expected that revenue and profit of this field will be more positive in the late six months of this year. Currently, DMC has offered its service for 09 drilling wells and 01 repairing well of Hoang Long JOC, VSP, Thang Long JOC and Murphy.
To achieve all the goals of the second half of 2017, DMC will continue to take priority over enhancing the development of business and service fields which are less affected by raw oil price as well as expanding markets to supply chemicals for all other industries. DMC will also develop distribution and business channel system of petrochemical products: PP, sulfur, and so on with the method of ensuring the effectiveness and tax safety. Moreover, DMC will follow exploring and exploiting petroleum plan notto miss the opportunity of supplying drilling fluids services and products. Especially, DMC will focus on researching opportunities of investing projects related to petroleum activities and being strategic projects of DMC. In addition, DMC will study to manufacture medical plastic and biodegradable nylon product along with some other domestic plastic products to improve manufacturing capacity and create jobs for workers.