Circular No. 16/2024/TT-BCT on the preservation and abandonment of oil and gas wells and the decommissioning of oil and gas facilities

CIRCULAR

Regulations on the preservation and cancellation of oil and gas wells,

 and the clearance of oil and gas facilities

____________

THE MINISTER OF INDUSTRY AND TRADE

Based on the Oil Law"b) In addition to the lists of public services issued according to the provisions of Clause 2, Article 4 of this Decree, specialized agencies under provincial People's Committees shall report to the provincial People's Committee for decision-making on amending, supplementing, or issuing the list of public services funded by the state budget within their jurisdiction and consistent with the local budget capacity within the approved budget by the Provincial People's Assembly, and send it to the Ministry of Finance and relevant ministries and sectors for supervision during implementation." date 14 the 11 year2022;

Based on Clause 7, Article 55 of Decree No. 45/2023/NĐ-CP dated July 1, 2023 of the Government detailing certain provisions of the Oil Law;

Based on Decree No. 96/2022/NĐ-CP dated November 29, 2022 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Industry and Trade, amended and supplemented by Decree No. 105/2024/NĐ-CP dated August 1, 2024 of the Government;

At the proposal of the Director of the Department of Oil and Gas and Coal;

The Minister of Industry and Trade issues this Circular regulating the preservation and cancellation of oil and gas wells, and the clearance of oil and gas facilities.

PART I

GENERAL PROVISIONS

Article 1. Scope of Application and Regulatory Scope

1. This Circular regulates the preservation and cancellation of oil and gas wells, and the clearance of oil and gas facilities within the territory of Vietnam, including land, islands, and maritime areas.

2. This Circular applies to domestic and foreign agencies, organizations, and individuals related to the preservation and cancellation of oil and gas wells, and the clearance of oil and gas facilities in Vietnam.

Article 2. Interpretation of Terms

In this Circular, the following terms are understood as follows:

1. Preservation of wells means using appropriate fluids, reinforcing plugs, and installing equipment in the well to ensure its safety for a certain period of time and to facilitate subsequent exploration, testing, and production activities.

2. Fluids are mixtures of hydrocarbons and other substances in liquid or gaseous form.

3. Drilling program is a document presenting technical design, construction methods, schedule, and preliminary well completion plan for implementing drilling operations at oil and gas fields or blocks.

4. Cement retention tool is a device used during high-pressure cement injection to prevent cement flow up or down in the well. The cement retention tool is a non-retrievable sealing device made of metal or suitable material that can be drilled through.

5. Exposed pipe section is a section of pipe placed on the seabed, ground surface, or bottom of rivers and lakes, or buried but over time, the covering layer erodes, exposing the pipe section or moving it from its original position.

6. Buried pipeline is a pipeline laid under the seabed, ground surface, or bottom of rivers and lakes according to a design approved by the competent authority.

7. Well abandonment involves recovering wellbore equipment, reinforcing cement plugs, setting mechanical plugs, cutting and recovering some sections of the wellbore pipe, and clearing obstructions around the wellhead if present.

8. Well completion plan is a document outlining the plan to abandon or preserve a well or part of an oil and gas well.

9. Preliminary well completion plan is a document proposing the plan to abandon or preserve a well or part of an oil and gas well prepared in the drilling program.

10. Perforation interval is any section of the well that has been perforated to create communication between the casing, formation, and wellbore or between different layers of casing.

11. Cement plug is a quantity of cement slurry injected into the wellbore to a certain depth to form a solid cement barrier separating different formation intervals along the wellbore. The location of the cement plug includes depth and length determined vertically along the wellbore.

12. Mechanical plug is a device made of metal or easily drillable rubber used to isolate the wellbore, typically used to separate different intervals in a cased wellbore.

13. Non-mechanical plug is a cement plug or material capable of forming a solid mass over time with load-bearing and sealing properties equivalent to cement, preventing pressure in the wellbore.

14. Plug is a mechanical or non-mechanical plug.

15. Production casing is a casing installed in the wellbore to separate the reservoir containing oil and gas from other formations.

16. Production tubing is a pipe installed along the wellbore for oil and gas production or fluid injection.

17. Packers are wellbore tools used to isolate annular spaces between production tubing and production casing or open hole sections to serve oil and gas production or injection operations.

18. Incident refers to unwanted events that cause accidents or have the potential to cause accidents.

19. Accident is an incident resulting in death, disappearance, injury, property damage, or environmental damage; affecting production activities at oil and gas facilities.

Chapter II

PRESERVATION AND ABANDONMENT OF OIL AND GAS WELLS

Section I: MAINTENANCE OF OIL AND GAS WELLS

Article 3. General requirements for well maintenance and classification of wells to be maintained

1. Well maintenance must meet the following requirements:

a) The wellbore must always be in a safe condition even when wellhead equipment is damaged due to incidents or removed, ensuring isolation between strata and between strata and surface, except when strata are being exploited simultaneously;

b) Ensure the ability to reuse the well for drilling, research, exploitation, repair, and other forms or abandonment at any time while maintaining safety;

c) Minimize interference of equipment with the surrounding environment;

d) For submerged wells maintained in areas with water depth less than 20 meters, buoy markers must be installed to indicate their location.

2. Based on the condition of the wells, wells requiring maintenance are classified into three types:

a) Type 1: Wells requiring long-term maintenance (three years or more), including wells that research results show could be economically exploited but have no utilization plans;

b) Type 2: Wells requiring temporary maintenance (one to three years), comprising wells included in exploitation plans but as backups;

c) Type 3: Wells requiring short-term maintenance (less than one year), including wells currently in use, temporarily halted for repairs, or prepared for use.

3. Well maintenance fluid

The operator must ensure that when part or all of a well requiring maintenance falls under Types 1 and 2, the well must always be filled with maintenance fluid of sufficient density to control the pressure of the strata existing in the well before conducting well maintenance operations. The maintenance fluid must be treated to prevent corrosion of equipment.

Article 4. Maintenance of the wellbore

1. The process of installing equipment or reinforcing plugs for well maintenance must ensure pressure control below the plugs before they are removed during the reopening of the well.

2. During the maintenance period for Type 1 wells, the production string must be pulled out of the wellhead and cement or mechanical plugs must be placed to isolate open intervals. The method of placing plugs follows the provisions set forth in Section II, Chapter III of this Circular.

3. Type 2 wells may retain the production string in the well in its operational state. During the maintenance period, the well must remain full of well maintenance fluid.

4. Type 3 wells may maintain the entire well in its original state, but valves must be closed and all valve handles removed, except for wells using subsea wellheads.

Article 5. Maintenance of subsea wellheads

1. For wells with subsea wellheads located offshore, the orientation cable system must be cut and retrieved before moving the drilling rig from its position.

2. The inner part of the wellhead of a maintained or completed well must be treated against corrosion, and the outer part must be protected from damage due to impact and equipped with means to easily identify the wellhead location.

3. In areas with sea depths less than 20 meters, to avoid danger to subsea wellheads, riser pipes, and passing vessels, the operator must install buoy markers for subsea wells undergoing maintenance.

Article 6. Surface Wellhead Preservation

1. For production wells on fixed platforms that are to be preserved, a tubing string must be installed at the wellhead. All valves except for check valves must be removed. Branch pipes and pressure-reducing gauges must be detached and blind flanges or plugs must be installed at the ends of the pipes and gauge feet. A sign measuring 0.4 m x 0.2 m must be affixed to the wellhead indicating the name of the field, the well name, the name of the responsible operator, the start date of preservation, the reason for preservation, and the preservation period.

2. Onshore drilling production wells must be preserved similarly to those specified in Clause 1 of this Article, with the additional protection of a reinforced concrete fence measuring 4 m (length) x 4 m (width) x 2 m (height). A sign measuring 0.4 m x 0.2 m must be affixed to the fence indicating the name of the field, the well name, the name of the responsible operator, the start date of preservation, the reason for preservation, and the preservation period.

Article 7. Inspection of Preserved Wells

1. The responsible operator must inspect preserved wells using appropriate methods and equipment according to international oil industry practices to detect any abnormalities in the well area. In case of detecting any abnormalities, the operator must take measures to ensure safety.

2. The responsible operator must conduct periodic inspections of preserved wells as follows:

a) Annually for Class 1 preservation wells;

b) Quarterly for Class 2 preservation wells;

c) Monthly for Class 3 preservation wells.

3. For wells with sub-surface wellheads under preservation, the first inspection for Class 1 and Class 2 preservation wells should be conducted one year from the preservation date. Based on risk assessment, the operator may propose subsequent inspections every two years from the first inspection. If any abnormalities are detected, the operator must implement corrective measures and report to the Vietnam Oil and Gas Group.

4. Inspection results must be reflected in the corresponding operational reports of the operator.

5. In cases where environmental conditions or national defense and security reasons require it, the operator shall carry out inspections of preserved wells according to the guidance of the Vietnam Oil and Gas Group.

Article 8. Preservation Period

1. The responsible operator must bring Class 1 preserved wells back into operation or abandon them within the permitted preservation period but not exceeding six years from the preservation date.

2. This preservation period may be extended if the operator conducts surveys, evaluations, and demonstrates that the extension meets the safety and environmental protection requirements stipulated by law and international oil industry practices.

Article 9. Well Abandonment Plan

1. For wells under the drilling program or those subject to preservation as provided for in Article 8 of this Circular, three working days before implementing well abandonment, the operator must prepare an abandonment plan and coordinate with the Vietnam Oil and Gas Group.

2. The abandonment plan includes the following contents:

a) Reason for abandoning the well;

b) Basic data on the well, a summary of the drilling and completion process, basic data on the production and utilization process, geological and geophysical data of the well, cement bond quality test results outside the production casing and between casings, formation pressure, and fracture pressure at the bottom of the casing, and related documents for wells or well sections to be abandoned or preserved;

c) Drilling well structure diagram, specifying the well depth, casing column depths, cement column heights in annular spaces, types and densities of fluids in the well and annular spaces, and equipment installed in the wellbore. For directional and horizontal wells, the deflection depth, vertical depth, true vertical depth, inclination angle, and azimuth angle must be clearly stated;

d) Method of setting mechanical plugs and cement plugs including the plug setting procedure, plug material type, cement slurry volume, fluid displacement volume, placement interval and depth, pressure and load testing method with specific test values. For wells to be abandoned, the cutting method and depth must be clearly stated;

đ) Plan for cleaning up and surveying around the wellhead area before and after well abandonment, moving or dismantling the platform;

e) Timing and schedule for well abandonment, periodic inspection plan for preserved wells.

4. For exploration wells included in the petroleum facility cleanup plan approved by the Ministry of Industry and Trade pursuant to Decree No. 45/2023/NĐ-CP, seven working days before implementing well abandonment, the operator must prepare an abandonment plan and coordinate with the Vietnam Oil and Gas Group.

Section II: ABANDONING OIL AND GAS WELLS

Article 10. Cutting, Recovering Tubing, Wellheads, and Downhole Equipment

1. Wells to be abandoned must ensure the integrity of the wellbore, preventing the flow of fluids between formations and the seafloor or surface.

2. The operator must apply mechanical or hydraulic methods to cut and recover the wellhead. The tubing must be cut just below the seafloor, and the wellhead system must be recovered, ensuring that no part protrudes above the seafloor, avoiding interference with maritime activities and other offshore operations.

3. For onshore wells, the depth of cutting the wellhead and tubing must be at least 3 meters below ground level.

4. When cutting tubing, the operator must pay attention to the following points:

a) If the overlapping sections of two tubing columns have not been cemented, the inner tubing column may be cut and recovered. The depth of cutting the tubing is based on the height of the cement plug within the annulus, determined through well logging data.

b) If there is a possibility of excess pressure in the annulus outside the tubing, it must be thoroughly addressed before cutting the tubing using additional reinforcement measures as stipulated in Article 14 of this Circular.

c) Before cutting the tubing, the density of the wellbore fluid must be adjusted appropriately to match the formation strength at the bottom of the tubing.

5. All downhole equipment must be recovered. In cases where technical recovery is not feasible, the operator must develop a plan to leave these devices as part of the oil and gas facility decommissioning plan approved by the Ministry of Industry and Trade under Decree No. 45/2023/NĐ-CP. Leaving downhole equipment must comply with Clause 7 of this Article, Article 16, and Article 17 of this Circular.

6. Leaving the wellhead or a portion of the tubing must be carried out according to the provisions of Article 55 of Decree No. 45/2023/NĐ-CP and Article 26 of this Circular.

7. After completing the well abandonment work, the seafloor or surrounding surface around the well location must be cleaned up, leaving no obstructions.

Article 11. Positions of Cement Plugs in the Open-Hole Section

1. Oil and gas reservoirs, abnormally pressured zones, or zones causing loss of fluid in the open-hole section must be isolated by cement plugs covering the entire zone plus at least 50 meters above the top and 50 meters below the bottom of the zone (Annex - Figure 1).

2. If the open-hole section is less than or equal to 250 meters in length and has a diameter smaller than 215.9 mm (8.5 inches), a cement plug must be placed from the bottom of the well to at least 50 meters above the deepest casing shoe (Annex - Figure 2).

3. If the open-hole section exceeds 250 meters in length and the zones within it do not contain oil and gas or have no abnormal pressures, only a cement plug of at least 100 meters long covering 50 meters above and 50 meters below the deepest casing shoe is required (Annex - Figure 3).

4. If the open-hole section has abnormal pressure or contains oil and gas zones with drill bits, drill collars, casing, and other tools stuck in them, these tools must be recovered to free up the open-hole section as much as possible and properly plug and abandon the open-hole section in accordance with Clause 1 of Article 12 of this Circular.

5. If the open-hole section causes cement slurry circulation loss making it impossible to place cement plugs as specified in Clauses 1, 2, and 3 of this Article, the operator must install a mechanical plug on the deepest casing shoe within a 50-meter range and a cement plug of at least 100 meters long immediately above the mechanical plug (Annex - Figure 3a).

Article 12. Positioning of Blocking Plugs in Cased Well Segments

1. To ensure isolation of the cased well segment from the open hole segment, the operator must place a balanced cement plug with a length of at least 100 meters, covering 50 meters above and 50 meters below the deepest casing shoe (Annex - Figure 4).

2. In cases where the wellbore conditions do not allow effective isolation using a balanced cement plug, the operator may implement one of the following methods:

a) Mechanical Plug Method: Place a mechanical plug on the casing shoe within a range of 50 meters and a cement plug with a minimum length of 100 meters immediately above the mechanical plug (Annex - Figure 5);

b) Cement Retainer Tool Method: The casing shoe can be isolated by placing a cement retainer tool 50 meters away from the casing shoe, followed by pumping cement through this tool. The volume of cement slurry must ensure the formation of a 100-meter-long cement plug below the cement retainer tool, then placing a cement plug with a height of at least 15 meters above the cement retainer tool (Annex - Figure 6);

c) If a cement plug is used to isolate the overlapping section of the upper casing end with the lower casing end, this cement plug must have a minimum length of 100 meters and be placed at least 50 meters above and at least 50 meters below the hanging point of the upper casing (Annex - Figure 7);

d) In the case of casing through salt beds or flowing sands (flowing zones), to prevent casing distortion due to flowing sands, the cement plug must extend through the entire flowing zone to counteract external pressure. If the flowing zone exceeds 200 meters, at least two cement plugs must be placed, one extending through the bottom boundary and the other through the top boundary of the flowing zone (Annex - Figure 8).

Article 13. Abandonment of Fractured Well Segments

If the well has been hydraulically fractured, the fracture intervals must be sequentially isolated using mechanical plugs, cement plugs, or both mechanical and cement plugs if the distance allows. The abandonment process must be carried out according to one of the following methods:

1. Cement Slurry Replacement Method: Place a balanced cement plug through the fracture interval and extend it from 15 meters to 30 meters above and from 15 meters to 30 meters below the fracture interval or extend it to the nearest mechanical plug (Annex - Figure 9).

2. Mechanical Plug Method: The fracture intervals can be isolated by placing a mechanical plug (or a workover packer with a plug) within a range of 15 meters to 30 meters from the top of the fracture interval, and a cement plug with a minimum length of 15 meters must be placed above this mechanical plug (Annex - Figure 10).

3. Cement Injection Method: To isolate abnormally pressured zones and prevent fluid flow between zones and behind the casing, the fracture intervals must be injected with cement. The injection process must be performed by pumping cement into the fracture interval through a cement retainer tool placed at least 15 meters above the fracture interval (Annex - Figure 11a) or a combination tool with backpressure (Annex - Figure 11b). At the same time, at least 25 meters of cement must be left above any injection tool remaining in the well.

Article 14. Supplementary Reinforcement Measures

1. Drilling and Grouting: To prevent the flow of fluid between the formation and annular spaces, at least 100 meters of good bonding cement must be inside the casing below the shoe. If not, the innermost casing must be drilled with holes at a depth of 100 meters above the shoe of the preceding casing, and an equivalent volume of 100 meters of cement grout must be injected through the perforated section using a cement retention tool or packer at a pressure not exceeding the formation fracturing pressure (Annex - Figure 12).

2. Drilling and Circulation: If the grouting method cannot be carried out due to the safe pressure limit of the casing, then immediately drill the inner casing just below the shoe of the preceding casing and inject cement up to at least 100 meters of the annular space within the newly drilled section (Annex - Figure 13).

3. The points described in Clauses 1 and 2 of this Article shall be plugged with cement as stipulated for the shot sections in Article 13 of this Circular.

Article 15. Plugging in Case of Casing Cutting

1. When cutting casing for recovery as prescribed in Clauses 1, 2, and 3 of Article 10 of this Circular, the ends of the cut casing must be isolated by one of the following methods:

a) Cement Plug Replacement Method: A balanced cement plug of at least 100 meters in length will be used to isolate the end of the casing extending at least 50 meters below and at least 50 meters above the cut end (Annex - Figure 14);

b) Cement Injection Method: Place a cement retention tool in the casing larger than 50 meters above the cut casing end and perform cement injection through the retention tool. The volume of cement slurry must ensure filling at least 100 meters of casing below the retention tool (50 meters below and above the cut casing end) and 15 meters above the retention tool (Annex - Figure 15).

2. Before cutting and recovering surface casing and guide pipe, a mechanical plug must be placed in the surface casing at a depth of 200 meters below the seabed for offshore wells or below the rotor base for onshore wells. A surface cement plug of at least 100 meters in length must be placed above that mechanical plug.

3. For onshore wells, the cut surface casing and guide pipe ends must be filled with cement, and the well bottom must be leveled to return to its original natural state, and at the well location, a steel sign measuring 0.4 meters by 0.2 meters must be installed indicating the name of the field, the well name, the operator's name, and the date, month, and year of well abandonment.

Article 16. Plugging in Case of Leaving Wellbore Equipment

In cases where the operator is permitted to leave wellbore equipment according to Clause 5 of Article 10 of this Circular, plugging must be carried out in accordance with the following provisions:

1. Where the operator can prove the existence of a good quality cement ring outside the production casing above the formations requiring separation, a cut and recovery of the equipment above the production packer may be performed, followed by placing a cement plug of at least 100 meters in length at the depth of the cement ring (Annex - Figure 16a).

2. Where the cement ring outside the production casing does not meet quality requirements, drilling and injecting cement into the annular space must be performed, followed by carrying out as specified in Clause 1 of this Article (Annex - Figure 16b).

Article 17. Requirements for Testing Cement Plugs

1. Checking position and load testing of cement plugs:

a) At least six hours must be waited for the cement plug to set before lowering the tool to determine its position and using a minimum load of five tons to check the accuracy of placement and quality of setting of the cement plug;

b) If the cement plug is displaced from the intended position or cannot withstand the test load, another cement plug must be placed to replace it, then the position and load testing of this new cement plug must be redone according to the method described in point a, Clause 1 of this Article.

2. Requirements for pressure testing of plugs:

a) To confirm the isolation of the open hole section below the deepest casing shoe, the cement plugs and mechanical plugs mentioned in Clauses 2 and 3 of Article 11 of this Circular must be pressure tested to a value higher than the casing acceptance test pressure of 3,450 kPa (500 psi) for 15 minutes;

b) The cement plugs and mechanical plugs mentioned in Article 12 of this Circular must be pressure tested to a value higher than the formation acceptance test pressure at the casing shoe of 3,450 kPa (500 psi) for 15 minutes;

c) The cement plugs and mechanical plugs mentioned in Articles 13 and 14 of this Circular must be pressure tested to a value higher than the formation pressure of the tested interval of 3,450 kPa (500 psi) for 15 minutes;

d) The cement plugs mentioned in Clause 1 of Article 15 of this Circular must be pressure tested to a value higher than the acceptance test pressure at the next casing shoe of 3,450 kPa (500 psi) for 15 minutes.

3. For wells using subsea wellheads, in addition to complying with the provisions of Clauses 1 and 2 of this Article, the operator must conduct tests on the ability of fluid to intrude into the wellbore for cement plugs and mechanical plugs as specified in Article 13 of this Circular to ensure there is no fluid intrusion from the formation into the wellbore.

4. The condition for plugs to meet the requirements for pressure testing is that within 15 minutes, the test pressure does not decrease by more than 10%.

Article 18. Fluids Used in Well Abandonment Operations

1. When part or all of a well is abandoned, the well must be filled with fluid of sufficient density to control the existing pressure in the casing string prior to performing the abandonment operations.

2. The fluids in the drilled well must be treated to prevent corrosion of the casing.

3. For open hole sections of the well before cement plug placement, a high viscosity spacer fluid must be placed to prevent cement from settling to the bottom of the drilled well.

Article 19. Cement Used for Well Abandonment

1. The cement used to place any cement plug in the drilled well must have a compressive strength of at least 3,000 kPa (435 psi) after setting for eight hours.

2. For wells with high temperature and high pressure, the cement used to place any cement plug in the drilled well must have a compressive strength of at least 3,500 kPa (508 psi) after setting for 48 hours.

Chapter III

WELL DECOMMISSIONING

Article 20. Decommissioning of Fixed Oil and Gas Installations

1. Removal of Topside Structures and Associated Equipment

a) Technological systems (trees, manifolds, separators, tanks, pumps, pipelines, etc.), fluid systems, cement, energy systems, fire protection systems, drilling templates, production strings, protective structures, mooring blocks and points, mooring lines, risers and riser bases, etc., must be cleaned before removal or transported to designated treatment facilities;

b) Topside structures and associated equipment must be completely removed, collected, and classified for reuse, recycling, or disposal in accordance with applicable laws;

c) Waste materials must be collected and treated in accordance with applicable laws.

2. Removal of Base Structures and Associated Equipment

a) Base structures and associated equipment must be removed for reuse or disposal in accordance with applicable laws;

b) All piles, pipes, and structures driven into the seabed must be cut flush with the seabed surface and ensure that no part protrudes above the seabed surface, causing hindrance to maritime activities or other sea operations. The depth of cutting will depend on the seabed erosion conditions in that area.

Article 21. Removal of Floating Equipment

1. Organizations and individuals must carry out cleaning of oil and chemicals in floating equipment, structures, and accompanying connecting devices (flexible hoses, pipelines, etc.) before removal.

2. Floating equipment, structures, and accompanying devices must be removed from their installed positions, completely cleared, transported to another location for priority reuse, or brought ashore for storage or disposal according to the provisions of the law.

Article 22. Removal of Onshore Oil Field Pipelines

1. Organizations and individuals must carry out the complete removal of floating pipelines, suspended sections, seabed pipeline sections, and exposed pipeline sections. The removal of floating pipelines, suspended sections, seabed pipeline sections, and exposed pipeline sections can only be carried out after organizations and individuals have cleaned oil, gas, and chemicals from those pipelines.

2. Other related equipment and facilities of the oil and gas project (electrical cable systems, optical cables, underwater valves, control devices, etc.) must be completely removed, collected, and sorted according to the purposes of reuse, recycling, or disposal as prescribed by law.

3. Plans to leave buried pipelines or pipelines that do not need to be removed and cleaned must be included in the oil and gas facility removal plan. The results of pipeline cleaning activities must be reported in the completion report of the removal work.

Article 23. Environmental Protection Work During the Removal of Oil and Gas Facilities

1. Environmental monitoring for the removal of oil and gas facilities must be conducted in accordance with the environmental protection laws.

2. Removal of debris and site cleanup

a) Debris removal and survey activities must be included in the oil and gas facility removal plan;

b) After completing each removal phase, organizations and individuals must conduct a debris survey to identify and recover debris generated during the removal process or remaining from previous exploitation activities on the seabed;

c) The scope of the debris survey is calculated from the outer edge of the oil and gas facility:

- For wells: within a minimum radius of 90 meters;

- For production platforms: within a minimum radius of 100 meters;

- For underground wellheads and underground distribution clusters: within a minimum radius of 90 meters;

- For pipelines and other oil and gas facilities: within a minimum radius of 10 meters.

3. Organizations and individuals are responsible for notifying the Ministry of Natural Resources and Environment, the Ministry of Industry and Trade, and the People's Committee of the province where the oil and gas facility is located about the prevention and emergency response plans for environmental incidents during the removal of oil and gas facilities.

Article 24. Removal in Emergency Situations

1. When removing oil and gas facilities and encountering unforeseen causes that hinder the removal work, leading to the inability to complete some removal tasks according to the approved removal plan, organizations and individuals must prepare the contents that need to be adjusted and supplemented compared to the approved removal plan.

2. Contractors implement partial removal work as stipulated in Clause 4, Article 52 of the Petroleum Law and may use the decommissioning obligation guarantee fund at the contribution ratio.

3. The costs of the completed removal project will be deducted from the total removal cost determined in the most recently approved removal plan to serve as the basis for adjusting the value of the decommissioning obligation guarantee fund establishment and repayment.

Article 25. Suspension of Decommissioning of Oil and Gas Facilities

1. Conditions and criteria for considering the suspension of decommissioning of oil and gas facilities include:

a) The oil and gas facility must be ensured to maintain its integrity and not pose risks to future decommissioning activities;

b) The suspension of decommissioning of oil and gas facilities must comply with general safety requirements, maritime safety, and environmental protection laws of Vietnam and international oil and gas industry practices;

c) The suspension of decommissioning of oil and gas facilities must have significance for scientific research, national defense, security, or other necessary cases;

d) The decommissioning obligation guarantee fund corresponding to the oil and gas facility must be withdrawn and paid according to the approved decommissioning plan;

đ) For wells, suspension of decommissioning is only permitted when the organization or individual responsible fully assumes responsibility for any issues that may arise from the suspension;

e) The oil and gas facility must still be functional and meet quality inspection, reinforcement, renovation, and repair requirements (if any) to ensure the safety of the facility as prescribed.

2. The main contents of the report proposing the suspension of decommissioning of oil and gas facilities include:

a) Current status of the oil and gas facility;

b) Plan for implementing the decommissioning of the oil and gas facility;

c) Reasons for proposing the suspension of decommissioning of the oil and gas facility;

d) Management of potential risks;

đ) Expected duration of the suspension;

e) Measures to ensure the integrity of the facilities;

g) Conclusions and recommendations.

Article 26. Leaving Oil and Gas Facilities

1. The act of leaving part or all of the oil and gas facilities shall be carried out in accordance with Article 55 of Decree No. 45/2023/NĐ-CP.

2. In cases where organizations or individuals have fully established financial guarantees according to the approved decommissioning plan, leaving part or all of the oil and gas facilities will be considered under one of the following circumstances:

a) It is technically unfeasible to carry out the decommissioning of the oil and gas facility;

b) Decommissioning solutions have been proposed but it is still impossible to safely recover the facility;

c) Decommissioning the oil and gas facility could endanger human lives or severely impact the marine environment without affecting maritime safety;

d) Submarine pipelines that have not been buried but have naturally become completely buried over time and exist in a buried state or sections of pipe exposed, with organizations or individuals implementing burial measures;

đ) Wellhead equipment; underground structures; concrete piles, pipes, and structures anchored to the seabed in areas with a minimum water depth of 500 meters, except in special cases related to national defense and security;

e) Removal of casing from wells, piles, pipes, and structures anchored to the seabed from the seafloor upwards;

g) Oil and gas facilities that can prove benefits from being left behind.

3. The content of the proposal to leave oil and gas facilities includes:

a) Current status of the oil and gas facility;

b) Reasons for proposing to leave the oil and gas facility;

c) Management of potential risks;

d) Measures to ensure the integrity of the facilities;

đ) Conclusions and recommendations.

4. Responsibilities of organizations and individuals when leaving oil and gas facilities

a) Establishing safety warning devices for maritime traffic for the left oil and gas facilities in accordance with maritime law regulations;

b) Transferring the entire decommissioning obligation guarantee fund to the decommissioning of the oil and gas facilities as stipulated in Articles 53 and 54 of Decree No. 45/2023/NĐ-CP;

c) Transferring the oil and gas facility to PetroVietnam Group or an organization approved by the competent authority.

Chapter IV

IMPLEMENTING PROVISIONS

Article 27. Transitional Provisions

In cases where well maintenance and abandonment work has been approved and implemented before this Circular takes effect, the operator, agency, organization, or individual continues to implement in accordance with Circular No. 17/2020/TT-BCT dated July 17, 2020, issued by the Minister of Industry and Trade on the management and abandonment of oil and gas wells.

Article 28. Effectiveness and Implementation

1. This Circular shall take effect from November 4, 2024, and replace Circular No. 17/2020/TT-BCT dated July 17, 2020, issued by the Minister of Industry and Trade on the preservation and abandonment of oil and gas wells.

2. In cases where the legal normative documents or technical standards cited in this Circular are amended, supplemented, or replaced, they shall be implemented according to the provisions of the new document.

3. During the implementation process, if there are difficulties or obstacles, organizations, individuals, and the Vietnam Oil and Gas Group shall report to the Ministry of Industry and Trade for consideration and resolution within their authority.