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Repsol ordered to stop Vietnam development

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Report summary

PetroVietnam has ordered Spanish operator Repsol to stop development works on the Ca Rong Do project (Block 07/03), due to pressure from China over disputed maritime claims within the South China Sea. This is a second blow to Repsol; the company stopped exploration drilling on a neighbouring block last year for the same reason. We discuss how this ramping-up of pressure from China could affect regional exploration, development and risk profiles.

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