Over the past 20 years, Petroleum Well Logging Company Limited (PVD Logging), a member of Petrovietnam Drilling and Well Service Corporation (PV Drilling), has proudly been a leader in the domestic high-tech well services market, particularly in services such as mud logging, well testing. Now, PVD Logging is gradually expanding into international markets, contributing to the realization of the Corporation's "ONE PVD" strategy in a new growth cycle.
From a strategic vision
Before the establishment of PVD Logging, Vietnam's oil and gas industry heavily relied on foreign companies for well drilling services, particularly well logging services. This dependence on multinational corporations led to high exploration and exploitation costs in the domestic market, significantly hindering the development of the domestic oil and gas industry.
In response to these challenges, PV Drilling's leadership decided to establish the Well Logging and Testing Enterprise in 2004, later transformed into Petroleum Well Logging Company Limited (PVD Logging) in August 2007 to ensure self-sufficiency and contribute to reducing the cost of well logging services in the domestic market. This strategic direction aligns with PV Drilling's vision of "Becoming a trusted and reputable drilling contractor and provider of oil and gas drilling technical services worldwide." Accordingly, PVD Logging was established with the mission of conducting market research, investing in service development with modern technology and equipment, and recruiting talented Vietnamese professionals with experience working for renowned multinational companies.
PVD Logging provides the Slickline services
At that time, the Well Logging and Testing Enterprise focused on developing core services such as mud logging, slickline, well testing, and Geological Scientists Provisions. In 2006, the Enterprise invested in the first complete mud logging unit from Baker Hughes to provide services to clients VGP and Cuu Long JOC. With the trust of its clients, the Enterprise continued to invest in building the second and third mud logging units in the following two years. Notably, the construction of the first mud logging unit helped the Enterprise save over 20% compared to purchasing a complete unit from the manufacturer, while affirming its ability to self-supply services and become independent of foreign suppliers. Since owning the mud logging unit, the Enterprise has provided high-quality services to clients, including slickline, Cased-Hole Logging, Tubing Conveyed Perforating, etc., all operated by experienced Vietnamese experts.
The year 2008 marked a significant milestone for PVD Logging, with remarkable growth in both its core services, mud logging and slickline - cased-hole logging. The 10th mud logging unit commenced operations after five years of service. This year also saw PVD Logging achieve a significant safety milestone of one million safe working hours on offshore oil rigs in Vietnam. Additionally, the self-invested four cased-hole logging units accelerated the growth of cased-hole logging services, capturing 50% of the domestic market and becoming the second core service of PVD Logging.
Following the success of mud logging services, well testing services officially commenced operations in 2008 with the establishment of the PVD-PTI Joint Venture, in which PVD Logging holds a 51% stake. Within just four years, by the end of 2012, the PVD-PTI Joint Venture had acquired a total of four well testing units, capturing a significant market share domestically.
Overcoming challenges with unwavering inner strength
In line with the robust growth of its parent company - PV Drilling, by the end of 2013, PVD Logging owned a total of 13 mud logging units, capturing 80 - 90% of the domestic mud logging services market. Meanwhile, with a total of four cased-hole logging units (including three MPLT/PLT units owned by the company and five units from partner Dimension Bid), had captured over 70% of the domestic cased-hole logging services market. Additionally, the PVD - PTI Joint Venture possessed six well testing units, securing a significant market share in the domestic oil and gas well testing sector. This period marked a remarkable growth phase for PVD Logging, solidifying its reputation and establishing a strong position in the domestic oil and gas drilling well services industry.
However, from late 2014, the global oil price began to decline sharply, severely impacting the global oil and gas industry. Consequently, drilling service companies, including PVD Logging, faced a significant loss of contracts due to cost-cutting measures implemented by major clients. Subsequently, the COVID-19 pandemic in 2020 and 2021 further exacerbated the situation, disrupting supply chains and reducing global oil and gas demand. Despite these compounded challenges, PVD Logging remained resilient, weathering the storms and ensuring stable employment and profitability.
PVD Logging owns a team of good and experienced engineers and experts ready to meet the strict requirements of clients
Looking back, PVD Logging overcame its most challenging period thanks to the strategic direction provided by the parent company and the determined focus on diversifying services from the early days of building and developing the company’s brand. In addition to focusing on the strengths of mud logging services in the oil and gas exploration sector, PVD Logging invested heavily in human resources and equipment for cased-hole logging services. This diversified investment and development strategy enabled PVD Logging to weather the double crisis when many oil and gas contractors shifted or significantly reduced exploration activities and focused on increasing exploitation activities and production to ensure revenue.
Moreover, PVD Logging's strengths lie in its advanced technological equipment, significant investments in research and development (R&D), and a strong focus on service quality and client satisfaction, which have served as sustainable competitive advantages. It is evident that even during the most challenging periods, clients continued to award PVD Logging with important contracts, thereby enabling the company to overcome difficulties, maintain revenue, and achieve high profitability.
Another crucial factor contributing to PVD Logging's success is its solid and unwavering internal strength, coupled with a responsive and visionary leadership team, and a team of highly skilled and experienced Vietnamese engineers, enabling the company to meet the stringent demands of its clients and gain a competitive advantage when multinational companies in the same industry were severely impacted by the double crisis.
Ready for rapid growth
Currently, PVD Logging holds a 50 – 100% market share in domestic well technical services, with three core services. Firstly, cased-hole logging services account for 60 - 90% of the domestic market share and have established strong and lasting relationships with existing clients. This remains the company's flagship service, contributing up to 68% of total revenue. Secondly, mud logging services hold a 100% domestic market share, contributing approximately 12% of total revenue, and are gradually expanding into international markets (including providing services in Thailand and Malaysia, and supplying manpower to the Japanese market). Thirdly, well testing services contribute approximately 20% of the company's total revenue.
The engineer installs the measurement equipment and inspects its optimal working condition before deploying it into the borehole to log well parameters
In the context of globalization and market expansion in a new growth cycle, the parent company has implemented the "ONE PVD" strategy to encourage all subsidiaries to expand their influence, enhance service quality, and affirm their brand value in the international market. As an initial result of this journey to expand overseas, in October 2023, PVD Logging successfully expanded its services to the Thai market, providing mud logging services to client Northern Gulf Petroleum. Subsequently, in the fourth quarter of 2024, with strong support from the parent company, PVD Logging successfully approached client Petronas in Malaysia. Thanks to the continuous efforts of the highly skilled technical team, the company secured a contract from October 2024 to the end of the third quarter of 2025, opening up the potential for further contracts in this market. For the Indonesian market, PVD Logging is capable of providing services under a long-term contract around the end of the first quarter of 2025 or the beginning of the second quarter of 2025, thereby aiming to continue expanding its influence in the Southeast Asian region.
Simultaneously with expanding its services into the regional market, PVD Logging continues to invest heavily in equipment, machinery, technology, and human resources to enhance its competitive advantage and solidify its brand reputation as a leading oil and gas well services provider in Vietnam.
In terms of human resources, PVD Logging has completed an internal re-engineering process, focusing on developing a robust workforce with abundant experience and enthusiasm. The company has implemented various human resources plans for different stages and scenarios to ensure that it has a high-quality and suitable workforce for developing new services and securing new client contracts in new markets. Additionally, PVD Logging has intensified internal training programs and external workshops to enhance the knowledge and skills of its engineers working both onshore and offshore, ensuring a strong team, solid relationships, and readiness for rapid growth.
In terms of investment, after a period of cost-cutting to optimize profits during the double crisis, PVD Logging has boldly invested in new technological equipment to meet the demands of a rapidly growing market. This includes the purchase of a new PCE 4.0 set, cased-hole logging equipment, and upgrades to mud logging stations. Concurrently, the company has intensified its R&D efforts to narrow the technological gap with multinational companies; collaborated on the research and development of an advanced C1-C8 natural gas analysis system, then C1-C10 system from the standard C1-C5 system; developing a new generation CVT (Contain Volume & Temperature) gas separator, compared to the current CVD (Contain Volume Degaser) standard; and collaborating to upgrade real-time data transmission standards from WITS0 to WITSML – offering enhanced capabilities, increased data, and higher security.
Over the past 20 years of development, PVD Logging has solidified its position as the leading provider of advanced well technical services in the domestic market and has steadily expanded its reach into international markets. The company's success is a testament to its sustainable development based on an appropriate strategy, strong internal strength, and an ability to adapt flexibly to market fluctuations. With a long-term vision and supported by the "ONE PVD" strategy of the parent company, PVD Logging is rapidly expanding, aiming to become a leading well services provider in Southeast Asia, contributing to the overall success of PV Drilling in the new growth cycle.
PV Drilling's PR Team.