IMPACT THAT
MA
MAKING AN
-
(Incorporated in tihe Socia/ist Republic of Vietnam)
REVIEWED INTERIM VND-CONVERTED SEPARATE
For the 6-month period ended 30 June 2025
L
PETROVIETNAN DRILLING AND WELL SERVICE CORPORATION
4'h Floor, Sailing Tower, 111A Pasteur Street, Sai Gon Ward
Ho Chi Minh City, S.R. Vietnam TABLE OF CONTENTS
INTERIM SEPARATE INCOME STATEMENT INTERlMSEPARATEGASHFLOWSTATEMENT
NOTES TO THE INTERIL4 VND-CONVERTED SEPARATE FINANCIAL STATEMENTS
1 - 2
3 - 4
5 - 6
7
8
9 - 40
PETROVIETNAM DRILLING AND WELL SERVICE CORPORATION
4'hFloor, Sailing Tower, 111 A Pasteur Street, Sai Gon Ward
Ho Chi Minh City, S.R. Vietnam
STATENENT OF THE BOARD OF MANAGENENT
The Board of Management of Petrovietnam Driling and Well Service Corporation (the "Company") presents this report together with the Company's interim VND-convefted separate financial statements for the 6-month period ended 30 June 2025.
THE BOARDS OF DIRECTORS AND I'4ANAGENENT
The members of the Boards of Directors and Management of the Company during the period and to the date of this report are as follows:
Mr. Mai The Toan
Mr. Nguyen Xuan Cuong Plr. Nguyen The Son
Mr. Vu Thuy Tuong Mr. Nguyen Van Toan
Mr. Tran Van Hoat Mr. Pham Xuan Son
Mr. Nguyen Xuan Cuong Mr. Ho Vu Hai
Mr. Do Danh Rang
Mr. Nguyen Cong Doan Mr. Dinh Quang Nhut
Mr. Nguyen Dinh Duong
Chairman Member Member Member
Independent Member (resigned on 23 April 2025) Independent Member (resigned on 23 April 2025)
Independent Member (tendere resignation on 25 June 2025, and the procedures for dismissal and election of a replacement member are in progress)
Independent Member (appointed on 23 April 2025) Independent Member (appointed on 23 April 2025)
President
Vice President Vice President Vice President Vice President Vice President
THE BOARD OF MANAGEMENTS* STATEI'4ENT OF RESPONSIBILITY
The Board of Management of the Company are responsible for preparing the interim VND-converted separate financial statements, which give a true and fair view of the separate financial position of the Company as at 30 June 2025, and its separate financial performance and its separate cash flows for the
' period then ended in accordance with Vietnamese accounting standards, accounting regime for enterprises and legal regulations reating to interim separate financial reporting. In preparing these interim VND-converted financial statements, the Board of Management are required to:
Select suitable accounting policies and then appy them consistently;
Make judgments and estimates that are reasonable and prudent;
State whether applicable accounting principles have been followed, subject to any matefial departures disclosed and explained in the interim VND-converted separate financial statements;
+ Prepare the interim VND-converted separate financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business; and
Design and implement an effective internal control system for the purpose of properly preparing and presenting the interim VND-converted sepafate financial statements so as to minimise errors and frauds.
PETROVIETNAPI DRILLING AND WELL SERVICE CORPORATION
4'h Floor, Sailing Tower, 111A Pasteur Street, Sai Gon Ward
Ho Chi Minh City, S.R. Vietnam
STATENENT OF THE BOARD OF I'4ANAGEI IENT (Continued)
The Board of Management are responsible for ensuring that proper accounting records are kept, which disclose, with reasonable accuracy at any time, the interim separate financial position ot the Company and that the interim VND-converted separate financial statements comply witn Vietnamese Accounting Standards, accounting regime for enterprises and legal regulations felating to interim separate financial reporting. The Board of Management is also responsible for safeguafding the assets of the Company and hence for taking reasonable steps for the prevention and detection of frauds and other irregularities.
The Board of Management contirms that the Company has complied with the above requirements in preparing these interim VND-converted separate financial statements.
For and on behalf of the Board of Management,
L
Nguyen Xuan Cuong
29 August 2025
2
Branch of Deloitte Vietnam Audit Company Limited
18th Floor, Times Square Building. No. 57-69F Dong Khoi, Saigon Ward, Ho Chi Ninh City, Vietnam
Tel: +84 24 710 a 4555
https://www.deloitte.com/vn
r
REPORT ON REVIEW OF INTERIN VND-CONVERTED SEPARATE FINANCIAL STATEN ENTS
o: The Shareholders, the Boards of Directors and Management Petrovietnam Driling and Well Service Corporation
We have reviewed the accompanying interim VND-converted separate financial statements of Petrovietnam Drilling and Well Service Corporation (the "Company"), prepared on 29 August 2025 as set out from page 5 to page 40, which comprise the interim separate balance sheet as at 30 June 2025, the interim separate income statement, the interim separate cash flow statement for the 6-month period then ended, and a summary of
The Board of Management is responsible for the preparation and fair presentation of these interim VND-converted separate financial statements in accordance with Vietnamese Accounting Standards, accounting regime for enterprises and legal regulations relating to interim separate financial reporting, and for such internal control as the Board of Management determines is necessary to enable the preparation of interim VND-converted separate financial statements that are free from material misstatement, whether due to fraud or error.
Auditors'Responsibility
Our responsibility is to express a conclusion on the accompanying interim VND-converted separate financial
A review of interim VND-converted separate financial statements consists of making inquiries, primarily of the persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Vietnamese Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
Based on our review, nothing has come to our attention that causes us to believe that the accompanying interim VND-converted separate financial statements do not present fairly, in all material respects, the
separate financial position of the Company as at 30 June 2025, and its interim separate financial performance and its interim separate cash flows for the 6-month period then ended in accordance with Vietnamese
Accounting Standards, accounting regime for enterprises and legal regulations relating to interim separate financial reporting.
Deloitte refers to one or more of Deloitte Touche Oohmatsu Limited ("DTTL"), its globat network of member firms, and their related entities (collectively. the "Deloitte organization"). DTTL (also referred to as "Deloitte Global") and each of irs member firms and related entities are legally separate and inde penden t entities, whic h cannot obliga Ie or bind each other in respe ct of third parties. DTTL and each DTTL mem ber firm and retated entTg is tiable only for its own acts and omissions, and no1 those of each other. DTTL does not provide services to clients. Plea se see .defoi‹te. com/abou I to learn more.
REPORT ON REVIEW OF INTERIN VND-CONVERTED SEPARATE FINANCIAL STATEMENTS (Continued)
r
Orfier matter
^' KIEM TOAN
*.'CONGT
DgLOI
Audit
ng
The Company has prepared a set of interim separate financial statements tor the 6-month period ended 30 June 2025 in United States Dolar which is its functional currency, in accordance with Vietnamese Accounting Standards, accounting regime for enterprises and legal regulations relating to interim financial reporting, on which we issued unqualitied conclusion in our review report dated 29 August 2025 about those interim separate financial statements.
r
Audit Practising Registration Certificate
No. 0733-2023-001-1
BRANCH OF DELOITTE VIETNAN AUDIT COMPANY LIMITED
Ho Chi Ninh City, S.R. Vietnam
4
PETROVIETNAN DRILLING AND wELL SERVICE CORPORATION FORM B 01a-DN
4'hFloor, Sailing Tower, 111A Pasteur Street, Sai Gon Ward Issued undef Circular No. 200/2014/TT-BTC Ho Ghi Minh City, S.R. Vietnam dated 22 December 2014 of the Ministry of Finance
INTERIN SEPARATE BALANCE SHEET
is at 30 June 2025
Unit: VND
ASSETS
Codes Notes Closing balance
Opening balance
A. | CURRENT ASSETS | 100 | 6,640,328,512,480 | 6,110,972,743,638 | |||
I. | Cash and cash equivalents | 110 | 4 | 1,356,848,352,960 | 1,886,098,345,506 | ||
1. | Cash | 111 | 1,069,374,606,380 | 1,616,028,699,102 | |||
2. | Cash equivalents | 112 | 287,473,746,580 | 270,069,646,404 | |||
II. | Short-term financial investments | 120 | 835,042,036,660 | 604,794,124,794 | |||
1. | Held-to-maturity investments | 123 | 5 | 835,042,036,660 | 604,794,124,794 | ||
Ill. | Short-term receivables | 130 | 3,414,453,432,540 | 2,587,511,836,158 | |||
1. | Short-term trade feceivables | 131 | 6 | 2,212,851,855,120 | 1,803,715,619,703 | ||
2. | Shoft-term advances to suppliers | 132 | 167,938,413,400 | 102,545,977,566 | |||
3. | Other short-term receivables | 136 | 7 | 1,067,641,529,040 | 711,402,761,001 | ||
4. | Provision for short-term doubtful debts | 137 | 6 | (33,978,365,020) | (30,152,522,112) | ||
IV. | Inventories | 140 | 8 | 861,233,369,320 | 933,073,083,426 | ||
1. | Inventories | 141 | 915,040,062,820 | 985,450,601,451 | |||
2. | Provision for devaluation of inventories | 149 | (53,806,693,500) | (52,377,518,025) | |||
v. | Other short-term assets | 150 | 172,751,321,000 | 99,495,353,754 | |||
1. | Short-term prepayments | 151 | 15 | 23,748,770,380 | 5,354,449,299 | ||
2. | Value added tax deductibles | 152 | 149,002,550,620 | 94,140,904,455 | |||
B. | NON-CURRENTAS$ETS | 200 | 11,723,880,972,780 | 11,429,376,694,656 | |||
1. | Long-term receivables | 210 | 313,639,735,860 | 362,817,831,954 | |||
1. | OtheF long-term receiVabes | 216 | 7 | 313,639,735,860 | 362,817,831,954 | ||
II. | Fixed assets | 220 | 5,831,551,011,160 | 5,833,433,295,912 | |||
1. | Tangible fixed assets | 221 | 9 | 5,713,891,788,480 | 5,715,949,205,511 | ||
Cost | 222 | 14,784,466,ifi80,240 | 14,640,407,156,893 | ||||
- Accumulated depreciation | 223 | (9,070,574, 791,760) | (8,924,457, 9ifi0,382) | ||||
2. | Intangible assets | 227 | 10 | 117,659,222,680 | 117,484,090,401 | ||
- Cost | 228 | 274,728,490, 740 | 266,821, ! Sifi,756 | ||||
- Accumulated amortisation | 229 | (157,069,268,060J | (f49,337,065,355/ | ||||
Long-term assets in progress | 240 | 1,535,558,532,940 | 1,193,458,870,326 | "C‹ | |||
1. | Construction in progress | 242 | 11 | 1,535,558,532,940 | 1,193,458,870,326 | ||
IV. | Long-term financial investments | 250 | 3,474,102,384,720 | 3,449,878,634,946 | |||
1. | Investments in subsidiaries | 251 | 12 | 3,390,448,141,500 | 3,300.393,447,225 | ||
2. | Investments in joint-ventures, associates | 252 | 13 | 467,606,009,240 | 455,185,787,946 | ||
‹.
r
3. | Provision for impairment of long-term financial investments | 254 | 14 | (383,951,766,020) | (305,700,600,225) | |
V. | Other long-term assets | 260 | 569,029,308,100 | 589,788,061,518 | ||
1. | Long-term prepayments | 261 | 15 | 554,459,692,060 | 575,605,433,352 | |
2. | Deferred tax assets | 262 | 16 | 14,569,616,040 | 14,182,628,166 | |
TOTAL ASSETS (270=100+200) | 270 | 18,364,209,485,260 | 17,540,349,438,294 |
"
PETROVIETNAM DRILLING AND WELL SERVICE CORPORATION FORId B 01a-DN
4'^ moor, Sailing Tower, 111A Pasteur Street, Sai Gon Ward Issued undef Circular No. 200/2014/TT-BTC Ho Chi Minh City, S.R. Vietnam dated 22 December 2014 of the Ministry of Finance
r INTERIM SEPARATE BALANCE SHEET (Continued)
As at TO June 2025
RESOURCES
C. LIABILITIES
Codes Notes Closing balance
300 2,541,196,224,720
Unit: VND
Opening balance
2,309,612,612,184
Current liabilities 310 2,268,284,260,300
Short-term trade payables 311 17 1,437,717,496,200
313
314
18
73,317,386,680
35,157,675,240
75,784,917,264
74,892,849,936
5. Short-term accrued expenses
315
19
288,361,517,140
234,762,435,654
6. Othef current payabes
319
20
51,819,222,580
155,449,574,925
7. Short-term loans
320
21
209,925,675,600
8. Short-term provisions
321
22
75,615,566,920
140,744,478,318
9. Bonus and welfare funds
322
87,550,119,940
94,258,422,609
11. Long-term liabilities
330
272,911,964,420
244,943,133,834
1. Long-term provisions
342
23
253,013,623,880
222,891,511,287
Taxes and amounts payable to the State budget
Payables to employees
Short-term advances from customers 312 8,819,600,000
r
2,064,669,478,350
1,277,666,359,644
11,110,440,000
2.
Scientific and technological
development fund
343
24
19,898,340,540
22,051,622,547
D.
EQUITY
400
15,823,013,260,540
15,230,736,826,110
i.
Owner'sequity
410
25
15,823,013,260,540
15,230,736,826,110
1.
Owner's contributed capital
411
5,562,960,060,000
5,562,960,060,000
- Ordinaryshares carrying voting rights
41 fa
5,562,960,060,000
S,562,960, 060, 000
2.
Share premium
412
2,434,086,374,663
2,434,086,374,663
3.
Treasury shares
415
(20,948,559,850)
(20,948,559,850)
4.
Foreign exchange reserve
417
3,520,942,312,689
3,118,279,151,677
5.
Investment and development fund
418
3,585,409,146,419
3,520,452,178,488
6.
Retained earnings
421
740,563,926,619
615,907,621,132
421a
615,907,621,132
263,341,120,91 I
4»b
124,656,305,487
352,566,500,221
Retained earnings accumulated to the prior year end
Retained earnings of the current
period/prior year
TOTAL RESOURCES (440=300+400) 440
18,364,209,485,260
17,540,349,438,294
'!L(
Ngu en uan Cuong President
29 August 2025
Nguyen Ngoc Truong Chief Accountant
Tran R1fñ Hoang
Preparer
PETROVIETNAM DRILLING AND WELL SERVICE CORPORATION FORI I B 02a-DN
4" Floor, Sailing Tower, 111A Pasteur Street, Sai Gon Ward Issued under Cifcular No. 200/2014/TT-BTC Ho Chi Minh City, S.R. Vietnam dated 22 December 2014 of the Ministry of Finance
INTERIM SEPARATE INCONE STATEMENT
Unit: VND
Codes
Notes
Current period
Prior period
01
2,599,314,760,566
3,017,751,700,026
10
27
2,599,314,760,566
3,017,751,700,026
11
28
2,220,281,072,157
2,455,313,153,952
20
379,033,688,409
562,438,546,074
21
30
153,913,625,204
83,634,893,100
22
31
131,174,619,337
80,565,445,104
23
673,333,786
25
7,495,027,894
2,199,261,792
26
32
187,463,517,951
173,280,117,888
30
206,814,148,431
390,028,614,390
31
33
141,117,834,598
5,627,511, 168
32
34
51,151,202,153
7,349,287,314
4s
89,966,632,445
(1,721,776,146)
50
296,780,780,876
388,306,838,244
51
35
82,846,276,874
96,297,585,612
52
-
(192,995,028)
60
213,934,504,002
292,202,247,660
For the 6-month period ended 30 done 2025
ITEMS
Gross revenue from goods soldand services rendered
Net revenue from goods soId and
services rendered (10-01)
Cost of good sold and services rendered
Gross profit from goods sold and services rendered (20-10-11)
Financial income
Financial expenses
- In which: Interest expense
Seling expenses
General and administration expenses
Operating profit
(30=20+(21-22)-(25+26))
Other income
Other expenses
Protit/(Loss) from other activities
(40=31-32)
Accounting profit before tax (50=30*40)
Current corporate income tax expense
45. Deferred corporate tax income
16. Net profit after corporate income tax (60=50-51-52)
TONG
i c*.
Ngu Xuan Cuong
President
29 August 2025
Nguyen Ngoc Truong Chief Accountant
NA
Tran Kim Hoang Preparer
PETROVIETNAPI DRILLING AND WELL SERVICE CORPORATION FORM B 03a-DN
4" Floor, Sailing Tower, 111A Pasteur Street, Sai Gon Ward Issued under Circular No. 200/2014/TT-BTC Ho Chi Minh City, S.R. Vietnam dated 22 December 2014 of the Ministry of Finance
ITEMS
INTERIM SEPARATE CASH FLOW STATEMENT
For the 6-month period ended 30 June 2025
Codes Current period
Unit: VND
Prior period
I.
1.
CASH FLOWS FROM OPERATING ACTIVITIES
Prof/r be/'ore tax
01
296,780,780,876
388,306,838,244
2.
Adjustments f'or:
Depreciation and amortisation of fixed assets
02
225,682,645,597
212,108,023,416
Provisions
03
27,516,798,558
5,834,521,488
Foreign exchange (gain)/ loss arising from translating
Gain from investing activities
4
05
(13,928,530,969)
(147,166,590,085)
49,233,269,358
(61,995,604,158)
Interest expense
06
673,333,786
Operating profit before movements fD
working capital
08
389,558,437,763
593,487,048,348
Changes in receivables
09
(610,459,133,028)
(748,548,103,782)
Changes in inventories
10
95,675,430,636
5,400,418,866
Changes in payables
11
(4,803,248,677)
488,117,210,700
Changes in prepaid expenses
12
18,292,982,725
69,926,476,566
Interest paid
14
(499,503,581)
Corporate income tax pa
15
(55,623,752,575)
(84,994,104,042)
Other cash outflows
17
(33,627,025,915)
(36,455,235,450)
/let cash (used in)/generated by operating activities
2o
(2o1,488,8J2,652)
686,93s,711,/06
foreign currency itemsr
ii. CASH FLows FRON INVESTING ACTIVITIES
1. Acquisition and construction of fixed assets
21
(405,127,017,818)
(9,381,925,608)
2. Proceeds ffom sale, disposal of fixed assets
22
-
672,436,872
Cash outflow for buying debt instruments of
other entities23 (749,524,390,000) (471,596,012,486)
Cash recovered from selling debt instruments Of 24 519,276,478,134 328,339,330,829
other entities
Interest earned, dividends and protits received
/let cash used in investing activitiesIII. CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from borrowings
Repayment of borrowings
Net cesh generated by financing activities
Net (decrease) /increase in cash (50=20+30+40)
27 41,979,701,177 13,424,272,584
30 {593,395,/28,507J (138,541,897,809}
33 290,169,136,913
34 (82,195,338,234)
40 202',973,798,62'9
50 (586,907,242,480) 148,391,813,397
Cash and cash equivalents at the beginning of the period
60
1,886,098,345,506
1,932,023,113,440
''*
Effects of changes in foreign exchange rates
61
1,827,933,648
3,137,716,830
Foreign exchange differences in translation
62
55,829,316,286
114,801,386,632
ash equivalents at the end of
th6tp@qo , =50+60+61+62)
70 1,356,848,352,960 2,198,354,030,299
_ NgiTyen- uan Cuong
President
29 August 2025
Nguyen Ngoc Truong Chief Accountant
Tran Kim Hoang
Preparer
The accompanying notes are an integral part of these interim VND-converted separate financial statements
PETROVlETNAI•t DRILLING AND WELL SERVICE CORPORATION FORM B 09a-DN
4'h Floor, Sailing Tower, 111A Pasteur Street, Sai Gon Ward Issued under Circular No. 200/2014/TT-BTC
Ho Chi Minh City, S.R. Vietnam dated 22 Decembef 2014 of the Ministry of Finance
NOTES TO THE INTERIM VND-CONVERTED SEPARATE FINANCIAL STATEMENTSThese notes are an integral pert of and should be read in conjunction with the accompanying interim VND-converted separate financial statements
GENERALINFORI'1ATION Structure of ownershipPetroVietnam Drilling and Well Service Corporation (the "Company") is a joint stock company established in Vietnam under the Business Registration Certificate No. 4103004335 dated on 15 February 2006 and amendments issued by the Department of Planning and Investment ("DPI") of Ho Chi Minh City, Business code No. 0302495126. The Company was established through the equitization of Petrovietnam Drilling and Well Service Company, a wholly-owned subsidiary of Vietnam National Industry - Energy Group ("Petrovietnam").
The Company consists of one division and offices abroad.
These offices were established through the change of legal form based on the Decisions of the Board of Directors through the termination of the establishment of branches abroad with details as follows:
- The Drilling Division was established under the Resolution of the Company's Board of Directors dated 9 April 2007 and the Decision No. 1249/QD-PVD issued by the President dated 24 May 2007 changing the Drilling Management Committee into the Drilling Division and under the Business Registration Certificate No. 0302495126-007 dated 16 March 2010 replacing Business Registration Certificate No. 4113028028 issued by the DPI of No Chi Minh City. The Drilling Division's registered office is located at 3'° Floor, Sailing Tower, 111A Pasteuf StFeet, Sai Gon Ward, Ho Chi Minh City, Vietnam. The Division manages and operates 3 offshore drilling rigs of PV DRILLING I, PVD DRILLING II and PV DRILLING III.
(
Algeria office was established under Decision No. 1875/QD-PVD dated 2 August 2007 issued by the President. The Algeria executive office is located at Cité Si El, Houas, No. 02, Villa No. 101, Hassi Messaoud, Ouargla, Algeria. Algeria office is directly controled and managed by the Drilling Division.
Malaysia office was established under Decision No. 224/QD-PVD dated 10 July 2023 issued by the President. The Malaysia office's registered office is located at 22.03, Level 22, Menafa TA One, 22, Jalan P. Ramlee, 50250a Kuala Lumpur, Malaysia.
Brunei office was established under Decision No. 226/QD-PVD dated 10 July 2023 issued by the President. The Brunei office's registered office is located at 5" floor, Wisma Hajjah Famimah, No. 22-23 Jalan Sultan BS881 1, Bandar Seri Begawan, Brunei Darussalam.
Thailand office was established under Decision No. 225/QD-PVD dated 10 July 2023 issued by the President. The Thailand office's registered office is located at Ceo Suite: Athenee Tower, 23'° floor, 63 Nireless Road, Lumpini, Pathumwan, Bangkok 10330 Thailand
Indonesia office was established under Decision No. 227/QD-PVD dated 10 Juy 2023 issued by the President. The Indonesia office's registered office is located at Prof. Dr. Soepomo No. 231, Crown Palace Block C-09, Tebet Jakarta Selatan 12870, Indonesia, Desa/Kelurahan Menteng Dalam, Kec. Tebet, Kota Adm. Jakarta Seatan, Provinsi DKI Jakarta.
The number of employees of the Company as at 30 June 2025 was 530 (as at 31 December 2024:
517).
l
PETROVIETNAI'I DRILLING AND WELL SERVICE CORPORATION FORM B 09a-DN NOTES TO THE INTERIM' I VND-CONVERTED SEPARATE FINANCIAL STATEMENTS (Continued)
r
Principal activitiesThe Company is principally engaged in providing drilling service, well service, wire line logging service, oil spill control service, drilling rig and equipment, manpower supply service for drilling rigs, investment- management project consulting service, management consulting service, and other related services in the oil and gas industry.
r-
Normal production and business cycle
The Company's normal production and business cycle is carried out for a time period of 12 months
of less.
The Company's structureThe Company has 7 subsidiaries. The list of subsidiaries is presented at Note 12.
The Company has 5 joint ventures. The list of joint ventures is presented at Note 13.
Discosure of information comparability in the interim VHD-convened separate financial
statementsr'
The comparative figures of the intefim VND-converted separate balance sheet are the figures of the Company's audited VND-converted separate financial statements for the year ended 31 December 2024 (the "Opening balance"). The comparative figures of the interim VND-converted separate income statement and interim VND-converted separate cash flow statement are the figures of the reviewed interim VND-converted separate financial statements for the 6-month period ended 30 June 2024 (the "Prior period").
ACCOUNTTNGCONVENTIONANDACCOUNTINGPERTOD
Accounting conventionThe Company uses United States Dollar ("USD") as currency unit. The Board of Management believes that the use of USD as currency unit is necessary in order to reflect the economic substance of the underlying events and circumstances reevant to the Company's business operations. Pursuant to prevailing accounting regulations in Vietnam, the Company converted its reviewed interim separate financial statements for the 6-month period ended 30 June 2025 prepared in United States Dollar (USD) into Vietnam Dong (VND) based on the following principles:
Assets and liabilities are translated into Vietnam Dong at the actual closing rate (the transfer rate of the commercial bank where the Company regularly has transactions at the reporting date);
Equity items (including owners' contributed capital, share premium and treasury shares) are translated into Vietnam Dong at the actual transaction rates at the capital contribution or buy-back treasury shares dates;
Exchange differences are translated into Vietnam Dong at the actual transaction rates at the devaluation date;
Retained earnings, reserves appropriated from retained earnings arising after the investment date are translated into Vietnam Dong based on the interim separate income statement items;
Items of the income statement and the cash flow statement are translated into Vietnam Dong at the average exchange rates because these rates are approximately equal to the actual exchange rates at the dates of the transactions (with the difference of no more than 3%).
1
INI
.01
PETROVIETNAM DRILLING AND WELL SERVICE CORPORATION FORlñ B 09a-DN NOTES TO THE INTERIM VND-CONVERTED SEPARATE FINANCIAL STATEMENTS (Continued)
r Exchange differences arising on the translation of the interim separate financial statements
r
prepared in foreign currency into Vietnam Dong are presented in the "Foreign exchange reserve" item with the code 417 under the "Equity" section on the interim balance sheet.
The accompanying interim VND-converted separate financial statements are prepared solely to present the separate financial position of the Company as at 30 June 2025 and the separate results of its operations and its separate cash flows for the 6-month period then ended 30 June 2025 including the Drilling Division, Algeria office, Malaysia office, Brunei office, Thailand office and Indonesia oftice. The Company does not consolidate financial statements of its subsidiaries and its joint ventures in these interim VND-converted separate financial statements. Accounting policies for the Company's investments are detailed in Note 3.
The accompanying interim VND-converted separate financial statements are not intended to present the financial position, results of operations and cash flows in accordance with accounting principles and practices generally accepted in countries and jurisdictions other than Vietnam.
Financial year/Accounting period
The Company's financial year begins on 1 January and ends on 31 December. The accounting period begins on 1 January and ends on 30 June.
SUMNARY OF SIGNIFICANT ACCOUNTING POLICIES
The significant accounting policies, which have been adopted by the Company in the preparation of these interim VND-converted separate financial statements, are as follows:
Aecounting estimatesThe preparation of interim VND-converted separate tinancial statements in conformity with Vietnamese Accounting Standards, accounting regime for enterprises and legal regulations relating to interim VND-converted separate financial reporting requires the Board of Management to make estimates and assumptions that affect the reported amounts of assets, liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Although these accounting estimates are based on the Board of Management's best knowledge, actual results may difter from those estimates.
Financial instruments
Initial recognition
Financial assets: At the date of initial recognition, financial assets are recognised at cost plus transaction costs that are directly attributable to the acquisition of the financial assets. Financial assets of the Company comprise cash, cash equivalents, held-to-maturity investments, trade and other receivables.
Financial liabilities: At the date of initial recognition, financial liabilities are recognised at cost plus transaction costs that afe direclly attributable to the issue of the financial liabilities. Financial liabilities of the Company comprise trade and other payables, and accrued expenses.Subueqvent measurement after initial fecognition
Currently there are no requirements fOf the subsequent measurement of the financial instruments after initial recognition.
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PETROVIETNAI'4 DRILLING AND WELL SERVICE CORPORATION FORI'4 B 09a-DN NOTES TO THE INTERIM VND-CONVERTED SEPARATE FINANCIAL STATEIflENTS (Continued)
Cash and cash equivalentsCash and cash equivalents comprise cash on hand, demand deposits, cash in transit and short-term, highly liquid investments (not exceeding 3 months) that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.
Held-to-maturity investmentsHeld-to-maturity investments comprise investments that the Company has the positive intent of ability to hold to maturity, including term deposits to earn peFiodic interest.
r
Post-acquisition interest income from time deposit is recognised in the interim separate income statement on an accrual basis.
t.
Held-to-maturityinvestments are measured at cost less provision for impairment of held to maturity investments. Provision for impairment of relating to held-to-maturity investments is made in accordance with prevailing accounting regulations.
Receivablesr
Receivables represent the amounts recoverable from customers or other debtors and are stated at book value less provision for doubtful debts.
Provision for doubtful debts is made for receivables that are overdue tor six months or more or when the debtor is in dissolution, in bankruptcy, or is experiencing similar difficulties and so may be unable to repay the debt.
InventoriesInventories are stated at the lower of cost and net realisable value. Costs comprise purchase price of inventory and where applicable, purchasing costs that have been incurred in bringing the inventories to their present location and condition. The Company applies perpetual method to account for inventories. Cost is calculated using the weighted average method. Net realisable value represents the estimated selling price less costs to be incurred in marketing, selling and distribution.
The evaluation of necessary provision for inventory obsolescence follows current prevailing accounting regulations which allow provisions to be made for obsolete, damaged, or sub-standard inventories and for those which have costs higher than net realisable values as at the balance sheet date.
,
‹
'
Tangible fixed assets and depreciationTangible fixed assets are stated at cost less accumulated depreciation. The costs of purchased tangible fixed assets comprise their purchase prices and any directly attributable costs of bringin the assets to their working condition and location for their intended use. The costs of sel constructed or manufactured assets are the actual construction or manufacturing cost plus installation and trial run costs.
Drilling rigs (machinery and equipment) are depreciated over operating hours of the rigs, equivalent to their useful lives as follows:
PV DRILLING I PV DRILLING II PV DRILLING III
Years
20
35
35
PETROVIETNAM DRILLING AND WELL SERVICE CORPORATION FORM B 09a-DN NOTES TO THE INTERIM VND-CONVERTED SEPARATE FINANCIAL STATEMENTS (Continued)Other tangible fixed assets are depreciated using the straight-line method over their estimated vseful lives as tollows:
Buildings and structures Machinery and equipment Office equipment
Motor vehicles Other assets
Years
6 - 50
5 - 10
3 -5
7 - 12
3 - 7
LeasingLeases where substantially all the rewards and risks ot ownership of assets remain with the leasing company are accounted for as operating leases.
The Company as lessor: Rental income from operating leases is recognised in the interim VND-converted separate income statement on a straight-line basis over the term of the relevant lease.
The Company as lessee: Rentals payable under operating leases are charged to the interim VND-converted separate income statement on a straight-line basis over the term of the relevant lease. Benefits received and receivable as an incentive to enter into an operating lease are also spread on a straight-line basis over the lease term.
Intangible assets and amortisationIntangible assets represent land use rights and computer software that are stated at cost less t, accumulated amortization. Land use rights with indefinite time are not amortised. Land use rights
with definite time are amortised on a straight-line basis ovef tefm of land use rights as 50 years. Computer software is amortised using the straight-line method over their estimated usetul lives from three to five years.
Construction in progressProperties in the course of construction for production, rental and administrative purposes or for other purposes are carried at cost includes any costs that are necessary to form the asset including construction cost, equipment cost, other directly attributable costs in accordance with the Company's accounting policy. Such costs will be included in the estimated costs of the fixed assets (if settled costs have not been approved) when they are put into use.
Long-term financial investmentsLong-term financial investments represent investments in subsidiaries and joint ventures.
A subsidiary is an entity over which the Company has control. Control is achieved where the Company has the power to govern the financial and operating policies of the investee enterprises so as to obtain benefits from its activities.
A joint venture is a contractual arrangement whereby the Company and other parties undertake an economic activity that is subject to joint control, i.e. the strategic financial and operating policy decisions relating to the activities require the unanimous consent of the parties sharing control. Joint venture arrangements that involve the establishment of a separate entity in which each venturer has an interest are referred to as jointly controlled entities.
Interests in subsidiaries, joint ventures and associates are initially recognised at cost. The Company's share of the net profit of the investee after acquisition is recognised in the interim VND-converted separate income statement. Other distributions received other than such profit share is
_ deducted from the cost of the investments as recoverable amounts.
PETROVIETNAM DRILLING AND WELL SERVICE CORPORATION FORM B 09a-DN NOTES TO THE INTERIM VND-CONVERTED SEPARATE FINANCIAL STATENENTS (Continued)
Investments in subsidiaries, joint ventures and associates are carried in the interim separate balance sheet at cost less provision for impairment of such investments (if any). Provision for impairment of long-term financial inv8stments is made in accordance with current prevailing accounting regulations.
Prepayments
r Prepayments comprise tools, spare parts incurred and prepaid expense for the drilling campaign in
Brunei incurred during the period which is expected to provide future economic benefits to the Company.
These expenditures have been capitalised as prepayments and alocated to the income statement using the straight-line method from one to three years.
Prepaid expenses for the drilling project in Brunei have been capitalised as prepayments are allocated to the interim VND-converted income statement on a straight-line basis within six years when the drilling campaign commenced in Quarter I, 2022.
Accrued expensesc ET e d a l a F e Ac ed
A eneds refeet he a eo hu a s theacce ed'asprdductio naaddpeha t:np ntst
actually paid as at the balance sheet date.
-
Payable provisions
Payable provisions are recognised when the Company has a present obligation as a resutyof a past event, and it is probable that the Company will be required to settle that obligation. Provisions are measured at the Board of Planagement's best estimate of the expenditure required to settle the obligation as at the balance sheet date.The provision for overhaul costs of fixed assets represents the overhaul costs accrued at each financial period based on the reliable estimated costs to be incurred in accordance with technical requirements of the Company's dfilling rigs. In the accounting period that incurs overhaul cost of fixed assets, it the actual cost is higher than estimated amount or vice versa, the different amount is recorded in the interim separate income statement of that accounting period.
Revenue recognitionRevenue from the sale of goods is recognised when all five (5) following conditions are satisfied:
The Company has transferred to the buyer the significant risks and rewards of ownership of the goods;
The Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
The amount of revenue can be measured reliably;
It is probable that the economic benefits associated with the transaction will tlow to the Company; and
The costs incurred or to be incurred in respect of the transaction can be measured reliably.
Revenue ofa transaction involving the rendering of services is recognised when the outcome of such transactions can be measured reliably. Where a transaction involving the rendering of services is attributable to several peFiods, revenue is recognised in each period by feterence to the percentage of completion of the transaction at the balance sheet date of that period. The outcome of a transaction can be measured reliably when all four (4) following conditions are satisfied:
The amount of revenue can be measured reliably;
It is probable that the economic benefits associated with the transaction will flow to the Company;
r
PETROVIETNAM DRILLING AND WELL SERVICE CORPORATION FORN B 09a-DN NOTES TO THE INTERIM VND-CONVERTED SEPARATE FINANCIAL STATEMENTS (Continued)The percentage of completion of the transaction at the balance sheet date can be measured reliably; and
The costs incurred for the transaction and the costs to complete the transaction can be measured reliably.
Interest income is recorded on an accrual basis, by reference to the principal outstanding and at the applicable interest rate.
Dividends income from investment is recognised when the Company's right to receive payment has been estabished.
Severance allowance payable
r
The severance allowance for employees is accrued at the end of each reporting period for all employees having worked at the Company tor tull 12 months and above. Working time serving as the basis for calculating severance allowance shall be the total actual working time subtracting the time when the employees have made unemployment insurance contributions as prescribed by law, and the working time when severance allowance has been paid to the employees. The allowance made foF each year of service equals to half of an average monthly salary under the Vietnamese Labour Code, Social Insurance Code and reevant guiding documents. The average monthly salary used for calculation of severance allowance shall be adjusted to be the average of the six consecutive months nearest to the date of the financial statements at the end of each reporting period. The increase or decrease in the accrued amount shall be recorded in the interim VND-converted separate income statement.
Foreign currenciesTransactions arising in foreign currencies are translated at exchange rates ruting at the transaction date. The balances of monetary items denominated in foreign currencies as at the balance sheet date are retranslated at the exchange rates of commercial bank where the Company usually transacts on the same date. Exchange differences arising from the translation of these accounts are recognised in the interim VND-converted separate income statement.
In preparation otthe interim VND-converted separate financial statements, the assets and liabilities of the overseas offices are translated into reporting currency using exchange rates prevailing on the balance sheet date. Income and expenses are translated using average exchange rates for the period, unless exchange rates fluctuate significantly during that period, in which case the exchange rates at the transaction dates would be used. Exchange differences arising, if any, are recognized in "Foreign exchange reserve" under the Equity section. Such differences will then be charged to the interim separate income statement once the foreign operations and office are disposed.
Borrowing costsBorrowing costs are recognised in the income statement in the period when incurred unless they are capitalised in accordance with Vietnamese Accounting Standard No. 16 "Borrowing costs".
TaxationIncome tax expense represents the sum of the tax currenty payabe and deferred tax.
The tax currently payable is based on taxable income for the period. Taxable income differs from profit before tax as reported in the interim separate income statement because it excludes items of income or expense that are taxable or deductible in other periods (including loss carried forward, if
- any) and it further excludes items that are never taxable or deductible.
PETROVIETNAM DRILLING AND WELL SERVICE CORPORATION FORM B 09a-DN NOTES TO THE INTERIN VND-CONVERTED SEPARATE FINANCIAL STATEMENTS (Continued)
r Deferred tax is recognised on significant differences between carrying amounts of assets and liabilities in the interim separate VND-converted financial statements. Deterred tax liabilities are generally recognised for all temporary differences and deferred tax assets are fecognised to the extent that it is probable that taxable income will be available against which deductible temporarydifferences can be utilised.
(
Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset realised. Deferred tax is charged or credited to profit or loss in the interim separate income statement, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity.
Deferred tax assets and liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax liabilities and when they relate to income taxes levied by the same tax authority and the Company intends to settle its current tax assets and liabilities on a net basis.
The detefmination of the tax cuFrently payable and deferred tax is based on the current interpretation of tax regulations. However, these regulations are subject to periodic variation and their ultimate determination depends on the results of the tax authorities' examinations.
Other taxes are paid in accordance with the prevailing tax laws in Vietnam.
Profit distribution
The Company's net profit after tax is available for appropriation to shareholders as dividends and
funds upon approval by shareholders at the Company's Annual General Meeting.Dividends are declared and paid from retained earnings based on the approval of shareholders at the Company's Annual General Meeting.
Bonus and welfare fundBonus and welfare fund Bonus and welfare fund is deducted trom the profit after corporate income tax of the company to be used tor rewarding and encouraging physical benefits, serving the needs of the pubie, improving and enhancingmental and physical life of employees. The appropriation and use of the bonus and welfare fund must comply with current prevailing accounting and financial regulations.
Investment and development fundInvestment and development fund is deducted from profits after corporate income tax of the Company to be used to invest in expanding the scale of production, business or in-depth investment of the enterprise. The appropriation and use of the investment and development fund must comply with current prevailing accounting and financial regulations.
-
CASH AND CASH EQUIVALENTS
Cash on hand
Bank demand deposits Cash equivalents
Closing balance
VND
2,024,305,720
1,067,350,300,660
287,473,746,580
1,356,848,352,960
Opening balance
VND
6,259,647,147
1,609,769,051,955
270,069,646,404
1,886,098,345,506
Cash equivalents represent time deposits with a term ot three months or less.
PETROVIETNAN DRILLING AND WELL SERVICE CORPORATION FORM B 09a-DN NOTES TO TH E INTERIN VND-CONVERTED SEPARATE FINANCIAL STATEf'1ENTS (Continued)
As at 30 June 2025, The Company had bank demand deposits with the amounts of USD 34,242 and VND 602,521,006, equivalent to VND 1,490,763,155, is a demand deposit at Modern Bank of Vietnam Limited (as at 31 December 2024: USD 34,242 and VND 226,360,225, equivalent to VND 1,091,009,512).
-
HELD-TO-I'1ATURITY INVESTMENTS
Closing balance
VND
Cost Carry amount
Opening balance
VND
Cost Carry amount
Time deposits 835,042,036,660 835,042,036,660 604,794,124,794 604,794,124,794
Held-to-maturity investments as at 30 June 2025 represent time deposits at commercial banks with maturities no more than 12 months from the reporting date, bearing changeabe interest rates noticed by the banks at regular intervals.
As at 30 June 2025, the Company had a time deposit over 3 months with amount of VND 36,456,063,981 which was equivalent to USD 1,405,400 kept at Modern Bank of Vietnam Limited (as at 31 December 2024: VND 36,456,063,981 which was equivalent to USD 1,443,747).
-
SHORT-TERM TRADE RECEIVABLES
Pt. Jimmulya
Petronas Carigali Overseas Sdn. Bhd. Petrovietnam Domestic Exploration Production Operating Company Limited
MKN Odyssey Ventures Sdn. Bhd.
Brunei Shell Petroleum Company Sdn. Bhd. Others
In which:
Receivables from reated parties(Details stated in Note 38)
Cosing baance
VND
885,229,581,360
399,113,799,780
249,297,433,540
227,340,987,460
228,321,571,340
223,548,481,640 2,212,851,855,120
177,547,263,840
Opening baance
VND
458,561,341,626
313,686,557,238
81,438,443,350
387,555,049,857
286,987,437,639
275,486,789,993 1,803,715,619,703
231,136,366,803
COSt
Provision
COSt
Provision
26,021,244,080
(22,315, 118,460)
20,847,326,604
(20,304,909,873)
8,354,002,940
(8,354,002,940)
8,146,755,381
(8,146,755,381)
7,539,045,960
(3,309,243,620)
3,620,210,619
(1,700,856,858)
41,914,292,980
(33,978,365,020)
32,614,292,604
(30,152,522,112)
Total amount of receivables over 6 months or not past due but impaired:
Petrovietnam Domestic Exploration Production Operating Company Limit0d Petrovietnam Exploration Production Corporation
Others
Closing balance
VND
Opening balance
VND
PETROVIETNAM DRILLING AND WELL SERVICE CORPORATION FORM B 09a-DN NOTES TO THE INTERIN VND-CONVERTED SEPARATE FINANCIAL STATEMENTS (Continued)
OTHER RECEIVABLES
a. Current
Closing balance
VND
Opening balance
VND
Other receivables from related parties (Details stated in Note 38)
Deposits
161,883,835,820
56,183,394,120
51,195,064, 197
50,312,440,743
Receivables from profit sharing of joint ventures
60,362,743,160
60,362,742,759
Interest income receivables
14,766,708,160
7,786,246,854
Receivables from employees
9,428,904,660
162,591,189
Withholding tax advanced in Malaysia office
687,895,985,900
513,348,032,310
Other receivables
77,119,957,220
28,235,642,949
1,067,641,529,040
711,402,761,001
b. Non-current
Inter-company receivables from subsidiaries
97,849,622,880
58,954,368,234
Deposits
214,251,014,960
302,381,735,040
In which:
Deposit for contract performance guarantee for Pertamina
Deposit for contract performance guarantee for
Petronas Carigali Sdn Bhd Others
Other receivables
206,608,675,920
Z,64C,339,040
1,539,098,020
313,639,735,860
201,120,881,868
93,815, 040,300
7,44 i,8 f 2,872
1,481,728,680
362,817,831,954
Other receivables include capital support as follows:
According to Resolution No. 06/09/2024/NQ-HOQT dated September 30, 2024, the Company provided financial support of VND 87,873,764,321 (equivalent to USD 3,577,922) to PVD Deepwater Drilling Company Limited (PVD Deepwater) for the settlement of a loan with Military Commercial Joint Stock Bank-Transaction Office 1 Branch. As of the interim separate financial statements date, the outstanding balance of this support amounted to VND 69.029,956,960 (equivalent to USD 2,661,139).
According to Resolution No. 06/03/2025/NQ-HOQT dated March 14, 2025, the Company further provided financial support of VND 103,458,370,59S (equivalent to USD 4,050,837) to PVD Deepwater for the settlement of a loan with Vietnam Joint Stock Commercial Bank tor Industry and Trade - Hanoi Branch. As of the interim separate financial statements date, the outstanding balance of this support amounted to VND 94,053,035,735 (equivalent to USD 3,625,792).
INVENTORIES
Closing balance
VND
Opening balance
VND
COST
Provision Cost
Provision
Good in transit - - 39,400,726,113
Raw materials 910,843,723,080 (53,806,693,500) 946,049,875,338 (52,377,518,025)
Tools and supplies 4,196,339,740 915,040,062,820 (53,806,693,500) 985,450,601,451 (52,377,518,025)
As at 30 June 2025, the provision tor inventories presents for devaluation of inventories through the reassessment on the current status and the economic benefit in the future of the inventories.
18
'f."y)
I ' " " "! I I I
PETROVIETNAN DRILLING AND WELL SERVICE CORPORATION
NOTES TO THE INTERIN VND-CONVERTED SEPARATE FINANCIAL STATENENTS (Continued)
FORM B 09a-DN
9. | INCREASES, DECREASES IN TANGIBLE FIXED ASSETS | |||||||
Buildings | Machinery | |||||||
and structures | and equipment | Office equipment | Motor vehicles | Others | Total | |||
VND | VND | VND | VND | VND | VND | |||
COST | ||||||||
Opening balance 356,437,586,031 | 14,145,042,330,261 | 77,931,681,531 | 60,105,687,579 | 889,870,491 | 14,640,407,155,893 | |||
Additions | 87,7g7,058,039 | 2,024,618,125 | 7,701,379,524 | 97,523,055,688 | ||||
Other increases | 156,510,952 | 47,443,020 | 2,955,292,034 | - | 3,159,246,006 | |||
Disposals (18,741,395,785) | (329,711,134,100) | (186,634,719) | (1,475,375,894) | - | (350,114,540,498) | |||
Other decreases | (156,510,952) | - | (1,567,124,573) | (1,723,635,525) | ||||
Foreign exchange differences 9,d07,624,194 | 381.855,636,520 | 2,158,454,103 | 1,769,302,810 | 24,281,049 | 395,215,298,676 | |||
Closing balance 347,103,814,d40 | 14,284,983,890,720 | 81,975,562,060 | 69,489,161,480 | 914,151,540 | 14,784,466,580,240 | |||
ACCUMULATED DEPRECIATION Opening balance 141,579,528,888 | 8,664,109,231,950 | 63,150,756,171 | 54,728,562,882 | 889,870,491 | 8,924,457,950,382 | |||
Charge for the period 4,978,430,753 | 215,989,092,852 | 2,457,803,506 | 995,257,633 | 224,420,584,744 | ||||
Other increases | 47,443,020 | 2,060,761,544 | 2,108,204,564 | |||||
Disposals (18,316,321,630) | (300,255,522,965) | (139,166,192) | (87,208,433) | - | (318,798,219,220) | |||
Other decreases | (1,392,937,270) | (47,443,020) | (2,060,761,544) | (3,501,141,834) | ||||
Foreign exchange differences 3,636,725,369 | 234,955,170,573 | 1,762,495,135 | 1,508,740,998 | 24,281,049 | 241,887,413,124 | |||
Closing balance 131,878,363,380 | 8,813,405,035,140 | 67,231,888,620 | 57,145,353,080 | 914,151,540 | 9,070,574,791,760 | |||
NET BOOK VALUE | ||||||||
Opening balance 214,858,057,143 | 5,480,933,098,311 | 14,780,925,360 | 5,377,124,697 | - | 5,715,949,205,511 | |||
Closing balance 215,225,451,060 | 5,471,578,855,580 | 14,743,673,440 | 12,343,808,400 | - | 5,713,891,788,480 | |||
As at 30 June 2025, the cost ot the Company's tangible fixed assets included an amount of VND 916,289,021,940 (as at 31 December 2024: VND 1,194,237,661,668) of tangible fixed assets which have been fully depreciated but are still in use.
Depreciation charged for the year included VND 2,290,509,591 of depreciation ot fixed assets constructed and purchased by Scientific and Technological Development Fund tor the purpose of scientific and technological developmental research ( prior period: VND 2,232,040,461).
00.
TO
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19
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PETROVIETNAM DRILLING AND WELL SERVICE CORPORATION FORM B 09a-DN NOTES TO THE INTERIN VND-CONVERTED SEPARATE FINANCIAL STATEMENTS (Continued)
INCREASES, DECREASES IN INTANGIBLE FIXED ASSETS
COST
Land use rights Computer software
VND VND
Others
VND
Total
VND
Opening balance 154,584,551,418 112,236,604,338
Additional - 771,331,680
Disposals - (194,261,312)
- 266,821,155,756
39,306,287 810,637,967
(194,261,312)
Foreign exchange
4,218,001,502 3,072,289,574
667,253 7,290,958,329
differences
Closing balance 158,802,552,920 115,885,964,280
ACCUNULATED DEPRECIATION
Opening balance 43,695,971,715 105,641,093,640
39,973,540 274,728,490,740
- 149,337,065,355
Charge for the period Disposals
Foreign exchange
1,325,420,241 2,463,797,651
- (194,261,312)
1,214,790,364 2,921,055,001
1,377,378 3,790,595,270
(194,261,312)
23,382 4,135,868,747
differences
Closing balance
46,236,182,320 110,831,684,980
1,400,760 157,069,268,060
NET BOOK VALUE
Opening balance 110,888,579,703
Closing balance 112,566,370,600
6,595,510,698
5,054,279,300
- 117,484,090,401
38,572,780 117,659,222,680
As at 30 June 2025, the cost of the Company's intangible fixed assets included an amount of VND 92,912,675,647 (as at 31 DecembeF 2024: VND 90,588,344,032) of intangible fixed assets which have Deen ful[y amoFtised but are still in use.
CONSTRUCTION IN PROGRESS
c PV Drilling VIII (*)
Construction of other assets in progress
Closing balance
VND
1,521,298,017,940
14,260,515,000
1,535,558,532,940
Opening balance
VND
1,165,039,223,340
28,419,646,986
1,193,458,870,326
(*) The Company acquired the PV Drilling VIII jack-up rig with a total investment cost of USD 81,000,000 according to Resolution No. 07/11/2024/NQ-HOQT dated 15 November 2024 of the Board of Directors. As of the date of the interim VND-converted separate financial statement, the PV Drilling VIII has completed the reactivation process, is ready for acceptance, and is expected to commence operations in September 2025.
INVESTNENTS IN SUBSIDIARIES
Details of the Company's subsidiaries are as follows:
PVD Offshore Services Company Limited ("PVD Offshore") was established as a limited liability company under Business Registration Certificate No. 3500803145 dated 1 September 2009 issued by the DPI of Ba Ria - Vung Tau Province and its amendments. PVD Offshore's registered office is located at 43A, 30/4 Street, Rach Dua Ward, Ho Chi Minh City, Vietnam. PVD Offshore is principally engaged in providing repair, inspection and maintenance of equipment and tacilities of oil and gas industry; drilling manpower supply service, oil and gas exploitation for domestic and foreign contractor operations; consultant of environmental impact assessment, the rescue plan for oil spills and taGilities and activities that have a risk of oil spills.
20
PETROVIETNAM DRILLING AND WELL SERVICE CORPORATION FORM B 09a-DN NOTES TO THE INTERIM VND-CONVERTED SEPARATE FINANCIAL STATEMENTS (Continued)PVD Well Services Company Limited ("PVD Well") was established as a limited liability company under Business Registration Certificate No. 4104001468 dated 1 August 2007 issued by the DPI of Ho Chi Minh City and its amendments. PVD Well's registered office is located at 4" floor, Cantavil Premier Building, No. 1 Song Hanh Street, Binh Trung Ward, Ho Chi Minh City. PVD Well is principally engaged in providing tubular services, drilling equipment rental services, well drilling technical services, supplying specialised tools and equipment to serve the well drilling services.
Petroleum Well Logging Company Limited ("PVD Logging") was established as a limited liability company under the Business Registration Certificate No. 4104001 513 dated 7 August 2007 issued by DPI of Ho Chi Minh City and its amendments. PVD Logging's registered office is located at 4" Floor, PVFCCo Tower, 43 Mac Dinh Chi Street, Sai Gon Ward, Ho Chi Minh City, Vietnam. PVD Logging is principalty engaged in providing oil and gas wells geophysical survey service, oil and gas wells testing, reservoir testing, cementing pumps and supply of manpower, tools and equipment for the other related services.
PVD Trading and Technical Services Joint Stock Company (formery known as Petroleum Trading and Technical Services Company Limited, "PVD Tech") has changed legal form from a limited liability company to a joint stock company and commenced its operation as a joint stock company under the Business Registration Certiticate No. 0305124602 dated 25 February 2022 issued by DPI of Ho Chi Minh City and its amendments. PVD Tech's registered office is located at 10'hFloor, Phuoc Thanh Building, 199 Dien Bien Phu, Gia Dinh Ward, Ho Chi Minh City, Vietnam. PVD Tech is principally engaged in providing materials and equipment for the oil and gas industry and other industries, implementation installation services, inspection, repair, maintenance of drilling fig, mending rig, expoiting rig and leasing DES drilling equipment cluster.
PVD Technical Training and Certification Joint Stock Company("PVD Training"), formerly known as Cuu Long Company Limited, is a joint stock company which was established under Business Registration Certificate No. 3500677518 dated 12 August 2011 issued by the DPI of Ba Ria - Vung Tau Province, and its amendments. PVD Training's registered oftice is located at Dong Xuyen Industrial Zone, 30/4 Street, Rach Dua Ward, Ho Chi Minh City, Vietnam. PVD Training is principally engaged in providing training, introduction and supply of manpower in the oil and gas industry in domestic and overseas markets, house, office and warehouse leasing.
PVD Deepwater Drilling Company Limited ("PVD Deepwater") was established as a limited liability company under Business Registration Certiticate No. 0310139354 dated 14 July 2010 issued by the DPI of Ho Chi Minh City and its amendments. PVD Deepwater's registered office is located at 3'° Floor, Sailing ToweF, 111A Pasteur Street, Sai Gon Ward, No Chi Minh City, Vietnam. PVD Deepwater is principally engaged in providing supporting services in crude oil and natural gas exploitation; supply of deepwater rigs in service search, exploration and exploitation of oil and gas; supply ot materials and equipment, machinery for supporting of oil and gas researching, exploring and exploiting; industry and other related industries; research and natural and technical sciences experimental development of natural and technical sciences; technological consultancy in the field of oil and gas. PVD Deepwater manages and operates 1 semi-submersible drilling rig of PV DRILLING V.
PV Drilling Overseas Company Private Limited ("PVD Overseas") was established in Singapore under the joint venture contract with Falcon Energy Group Limited and Business Registration No. 201308977C dated 4 April 2013. PVD Overseas's registered office is located No.75 High Street, The Co Building, Singapofe. PVD Overseas is principally engaged in providing investment, drilling rental, supplying drilling service and the services related to exploration and exploitation of oil and gas. PVD Overseas manages and operates 01 offshore dfilling rig Of PV DRILLING VI.
21
PETROVIETNAN DRILLING AND WELL SERVICE CORPORATION
NOTES TO THE INTERIN VND-CONVERTED SEPARATE FINANCIAL STATEMENTS (Continued)
FORN B 09a-DN
Details about capital contribution status and investment value in subsidiaries of the Company as at 30 June 2025 and 31 December 2024 are as follows:
Closing balance
Opening balance
Name of
Ownership/ voting rate
Registered charter capital
Contributed charter capital
Investment value
Ownership/
voting rate
Registered
charter capital
Contributed charter capital
Investment value
subsidiaries
% (original currency)
(original currency)
VND
% (original currency)
(original currency)
VND
PVD Offshore 100 VND 130,000,000,000
PVDWell 100 VND 80,000,000,000
PVD Logging 100 VND 80,000,000,000
PVDTech 97 VND450,000,O00,000
PVDTraining 51.8 VND 28,958,670,000
PVD oeepwater 100 VNO 764,000,000,000
PVD Overseas 81.6 USD 66,698,050
Foreign exchange differences in translation
VND 130,000,000,000
VND 80,000,000,000
VND 80,000,000,000
/ND 4150,000.000.000
VND 28,958,670,000
VND 764,000,000,000
USD 66,698,050
130,000,000,000
80,000,000,000
80,000,000,000
436,500,000,000
19,755,753,400
764,000,000,000
1,184.832,000,000
695,360,388,100 3,390,448,141,500
100 VND 130,000,000,000
100 VND 80,000,000,000
100 VND 80,000,000,000
97 VND 450,000,000,000
51.8 VND28,958,670,000
100 VND 764,000,000,000
81.6 USD 66,698,050
VND 430,000,000,000
/NO 80,000,000,000
VN0 80,000,000,000
VND 450,000,000,000
VND 28,958,670,000
VND 764,000,000,000
USD 66,698,050
130,000,000,000
80,000,000,000
80,000,000,000
436,500,000,000
19,755,753,400
764,000,000,000
1,184,832,000,000
605,305,693,825
3,300,393,447,225
The Company has not assessed the fair value of investments in subsidiaries at the balance sheet date due to no specific guidance on the determination of fair value. The significant transactions between the Company and its subsidiaries are presented at Note 38.
CHi ONG
KlE'f
22
PETROVIETNAN DRILLING AND WELL SERVICE CORPORATION FORf'I B 09a-DN NOTES TO THE INTERIN VND-CONVERTED SEPARATE FINANCIAL STATENENTS (Continued)
-
INVESTMENTS IN JOINT-VENTURES
Details of the Company's joint ventures with proportion of voting power held 50% are as follows:
r
BJ Services-PV Drilling Joint Venture Company Limited ("BJ-PVD") was established in Vietnam as a joint venture company under Investment Certificate No. 492021 000003 dated 28 September 2006 issued by the People's Committee of Ba Ria - Vung Tau Province and its amendments. BJ-PVD's registered office is located at 65A, 30/4 Street, Rach Dua Ward, Ho Chi Minh City, Vietnam. BJ-PVD is principally engaged in providing the entire package of services such as cementing pump, reservoir stimulation, dragging tubular and pumping nitrogen, etc, as well as technical solutions, laboratory services and chemicals supply. The total chatter capital of BJ-PVD is USD 5 million, in which, the Company holds 49% of its ownership.
r
PV Drilling-Baker Hughes Well Technical Services Joint Venture Company Limited ("PVD Baker Hughes") was established in Vietnam under Investment Certificate No. 411022000556 dated 26 January 2011 issued by the People's Committee of Ho Chi Minh City and its amendments. PVD Baker Hughes's registered office is located at 5" Floor, Cantavil An Phu Complex, No. 1 Song Hanh Street, Binh Trung Ward, Ho Chi Minh City, Vietnam. PVD Baker Hughes is principally engaged in providing directional surveying drilling services, measurement while drilling services, coring sample services, well geophysical survey services, casehead hanging over services, stuck rescue services, artificial reservoir pressure, intelligent well completion services and other mine expoitation technology services. The total charter capital of PVD Baker Hughes is USD 20 million, equivalent to VND 370,880,000,000, in which the Company holds 51% of its ownership.
PVD Tubulars Management ("PVD Tubulars") was established in Vietnam under Investment Certificate No. 492022000134 dated 7 October 2008 issued by the Board of Management of Ba Ria
- Vung Tau Industrial Zone and its amendments. PVD Tubulars's registered office is located at Phu My 1 Industrial Zone, Phu Quy Ward, Ho Chi Minh City, Viet Nam. PVD Tubulars is principally engaged in providing products of drilling tube, casing, tubing operators and management service for casing package for all oil and gas companies which operating in exploration and exploitation on shore, offshore and deep water regions in Vietnam. The total charter capital of PVD Tubulars is VND 57,995 million, equivalent to USD 3.5 million. The Company holds 51% of its ownership.
Vietubes Company Limited ("Vietubes") was established under Investment Certificate No. 4920220001 11 dated 15 February 1995 issued by the Board of Management of Industrial Zone of Ba Ria - Vung Tau Province and its amendment. Vietubes registered oftice is located at Street 11, Dong Xuyen Industrial Zone, Rach Dua Ward, Ho Chi Minh City, Vietnam. Vietubes is principally engaged in providing forging, processing, repair, recovery inspection, verification of drilling tube, fabricated connectors, couplings and by-product supporting for drilling operations, oil and gas exploitation; metal processing, including cutting, formatting and stabiizing meta structure; precision mechanical processing for arge details on automatic machines. The total charter capital of Vietubes is VND 77,297,205,000, equivalent to USD 3,707,300. In 2015, the Company completed the necessary procedures to receive the transfer of the entire investment value in Vietubes from PVD Tech. The Company holds 51% of its ownership.
Petrovietnam Drilling Indonesia Company Limited (international trade name: PT. Petrovietnam Drilling Indonesia, abbreviated as "PT PVD Indo") was established in Indonesia under a Joint Venture Agreement dated 09 May 2025 with PT Quest Semesta Raya and Mr. Yosep Arianto. The registered head office of PT PVD Indo is located at JI. Prot. Dr. Soepomo No. 231, Crown Palace Blok C-09 Tebet, Jakarta Selatan, Indonesia 12870. The principal activity of PT PVD Indo is to provide drilling services and well engineering services to oil and gas companies in Indonesia. The charter capital of PT PVD Indo is USD 700,000, of which the Company contributes 40%. The Company completed the remittance of its offshore capital contribution to PT. Petrovietnam Drilling Indonesia on 15 August 2025.
IHAN
TOAI
'ITZ
Nñ2
r
r
PETROVIETNAM DRILLING AND WELL SERVICE CORPORATION FORM B 09a-DN NOTES TO THE INTERIM VND-CONVERTED SEPARATE FINANCIAL STATEMENTS (Continued)
Details about investment value in joint ventures of the Company as at 30 June 2025 and 31 December 2024 are as fobows:
BJ-PVD
PVD Baker Hughes PVD Tubulars Vietubes
Foreign exchange differences on translation
Closing balance
VND
48,039,113,955
211,753,000,000
30,515,952,000
86,787,891,394
90,510,051,891
467,606,009,240
Opening balance
VND
48,039,113,955
211,753,000,000
30,515,952,000
86,787,891,394
78,089,830,597
455,185,787,946
r
The Company has not yet assessed the fair value of investments in joint ventures as at the balance sheet date due to no specific guidance on the determination of fair value.
According to Resolution No. 01/08/2018/NQ-HDQT dated 6 August 2018 and Resolution No. 05/12/2018/NQ-HDQT dated 28 December 2018, the Board of Directors has approved the restructuring plans of BJ-PVD Joint Venture. Accordingly, BJ-PVD would be dissolved upon expiry of the joint venture contract on 28 September 2018. As at the date ot the interim VND-converted separate financial, BJ-PVD is conducting the dissolution procedures.
The significant transactions between the Company and its joint ventures during the period are presented at Note 38.
PROVISION FOR IMPAIRMENT OF LONG-TERM FINANCIAL INVESTMENTS
PVD Overseas
PREPAYMENTS
Insurance premium cost
17,984,331,700
2,450,533,797
Others
5,764,438,680
2,903,915,502
b. Non-current
23,748,770,380
5,354,449,299
a. Current
Closing balance
VND
383,951,766,020
Closing balance
VND
Opening balance
VND
305,700,600,225
Opening balance
VND
400,537,516,680
465,096,199,422
153,922,175,380
110,509,233,930
554,459,692,060
575,605,433,352
Prepaid expenses for Drilling campaign in
Brunei (*)
!H s
Others
(*) According to Resolution 01/04/2020/NQ-HDQT dated 3 April 2020, the Company has leased the drilling rig PV DRILLING V from PVD Deepwater to serve the dfilling campaign of Brunei Shell Petroleum Company Sdn Bhd ("BSP") as from January 2022. Prepaid expenses for the drilling campaign in Brunei were related to deactivation and preparation work of the drilling rig PV DRILLING V.
PETROVIETNAN DRILLING AND WELL SERVICE CORPORATION FORM B 09a-DN NOTES TO THE INTERIN VND-CONVERTED SEPARATE FINANCIAL STATEMENTS (Continued)
DEFERRED TAX ASSETS
Opening balance
Foreign exchange differences
Gosing balance
Unrealised
Provisions foreign exchange
VOID VND
12,015,839,856 2,166,788,31 0
327,864,784 59,123,090
12,343,704,640 2,225,911,400
Total
VND
14,182,628,166
386,987,874
14,569,616,040
Deferred tax assets as at 30 June 2025 are derived from the temporary differences, which are provision for devaluation of inventories, severance allowance provisions and unfealized foreign exchange differences.
SHORT-TERN TRADE PAYABLES
Cosing balance
VND
Amount able to
Opening balance
VND
Amount
be paid off
Amount
be paid off
PVD Overseas
264,959,097,640
264,959,097,640
382,701,145,320
382,701,145,320
PVDTech
161,829,154,300
161,829,154,300
63,645,322,257
63,645,322,257
PVD Training
24,546,814,480
24,546,814,480
198,664,090,615
198,664,090,615
Amount able to
121,911,359,360
121,911,359,360
132,344,445,307
132,344,445,307
864,471,070,420 864,471,070,420
500,311,356,145
500,311,356,145
1,437,717,496,200 1,437,717,496,200
1,277,666,359,644
1,277,666,359,644
626,244,258,200 626,244,258,200
729,577,117,749
729,577,117,749
Borr Jack-Up XXXII Inc.
Other suppliers
Trade payables to related parties (Details stated inNote 38)
TAXES AND AMOUNTS PAYABLES TO THE STATE BUDGET
Obligations to the State Budget during the period of the Company are as follows:
Foreign
Opening Payable during Paid during exchange
Closing
balance the period the period differences balanceImport and
expos dutiesVND VND VND
9,232,217,592 9,232,217,592
VND
VND
Corporate income tax 44,094,928,715
61,150,609,335
44,094,928,715
-
61,1 50,609,335
Personal income tax 9,721,498,176
75,195,285,289
75,279,326,364
9,637,457, 101
License tax - 4,000,000 4,000,000
Withholding tax 20,750,067,450 24,61 1,61 3,477 45,043,017,703 - 318,663,224
Foreign exchange
1,218,422,923 - - 992,234,097 2,210,657,020
differences75,784,917,264 170,193,725,693 173,653,490,374 992,234,097 73,317,386,680
PETROVIETNAM DRILLING AND WELL SERVICE CORPORATION FORM B 09a-DN NOTES TO TH E lNTERll'4 VND-CONVERTED SEPARATE FINANCIAL STATEMENTS (Continued)
SHORT-TERM ACCRUED EXPENSES
Accrued expense for the operation of drilling rigs Accrued expenses for external drilling rig rental Accrued for interest expense
Other expenses
OTHER CURRENT PAYABLES
Inter-company payable to subsidiaries Social, Health and Unemployment Insurance Union fee
Shoft-term deposits received
Others
Closing balance Opening balance
VND VND
200,901,953,740 223,665,782,700
80,048,972,320 -
176,781,100 -
7,233,809,980 11,096,652,954 288,361,517,140 234,762,435,654
Closing balance Opening balance
VND VND
2,611,130,157
1,490,149,240
227,805,080 644,228,763
111,710,424,000
50,101,268,260 40,483,792,005 51,819,222,580 155,449,574,925
SHORT-TERM LOAN
Opening balance
VND
VND
In the period
VND VND
Foreign exchange
Closing balance
VND
Amount
Increases Decreases differences
Amount
Short-term loan - 290,169,136,913 82,195,338,234 1,951,876,921 209,925,675,600
Details of the short-term loans are as follows:
Tien Phong Commercial Joint Stock Bank ("TPBank")
Joint Stock Commercial Bank for Investment and
Closing balance Opening balance
VND VND
182,806,105,980
27,119,569,620 -
Development of Vietnam ("BIDV")
209,925,675,600 -
Short-term borrowings represent loans ffofTl Tien Phong Commercial Joint Stock Bank and Joint Stock Commercial Bank for Investment and Development of Vietnam, with credit limits of VND 700,000,000,000 and VND 300,000,000,000, respectively, for the purpose of supplementing working capital to support production and business activities. These short-tefm loans are unsecured and bear interest rates ranging ffom 1.5% to 2% per annum.
-
SHORT-TERM PROVISIONS
:HI N'
Provision for overhaul cost Provision for severance:ELC 'UT
of fixed assets
alowance
Total
VND
VND
VND
Opening balance
133,042,645,557
7,701,832,761
140,744,478,318
Additional provision for the period
14,021,274,421
-
14,021,274,421
Usage during the period
(127,472,074,231)
-
(127,472,074,231)
Reclassify from long-term provisions
45,632,788,210
45,632,788,210
Foreign exchange differences
2,478,947,623
210,152,579
2,689,100,202
Closing balance 67,703,581,580 7,911,985,34075,615,566,920
PETROVIETNAN DRILLING AND WELL SERVICE CORPORATION FORM B 09a-DN NOTES TO THE INTERIM VND-CONVERTED SEPARATE FINANCIAL STATEMENTS (Continued)
LONG-TERM PROVISIONS
r Opening balance
r
Additional provision for the period Usage during the period
Reclassify to short-term provisions Foreign exchange differences Closing balance
SCIENTIFIC AND TECHNOLOGICAL DEVELOPNENT FUND
Provision for overhaul
cost of fixed assets
VND
222,891,511,287
69,271,783,065
(45,632,788,210)
6,483,1 17,738
253,013,623,880
According to the Company's Charter, the Company may appropriate profit to Scientitic and Technological Development Fund with the amount not exceeding 10% of taxable income.
(' Novement in the Scientific and Technological Development Fund during the period was as follows:
VND
VND
of assets formed
VND
Available
from the fund
Tota
Prior year's opening balance
2,232,264,160
14,401,236,640
16,633,500,800
Increase in the year
9,737,829,885
1,621,025,000
11,358,854,885
- Forming subsidiaries
9,737,829,885
-
9,737,829,885
- Forming fixed assets
Decrease in the year
(1,955,995,270)
1,621,025,000
(4,380,792,170)
1,621,026,000
(6,336,787,440)
- Fund usage
(1,955,99Ifi,270)
-
(1,955,995,2Z0}
- Depreciation of fixed assets
-
(4,380, 792,170)
(4,380, 792,170)
Foreign exchange differences
136,904,229
259,150,073
396,054,302
Current period's opening balance
10,151,003,004
11,900,619,543
22,051,622,547
Decrease in the period
(183,000,000)
(2,290,509,591)
(2,473,509,591)
- Fund usage
/f83,000,000,/
-
{783,000,000}
- Depreciation of fixed assets
-
(2,290,S09,ifi91)
(2,290,509,59 f)
Foreign exchange differences
276,455,256
43,772,328
320,227,584
Current period's closing balance
10,244,458,260
9,653,882,280
19,898,340,540
Scientific and technological development fund The carrying value
TTI
PETROVIETNAM DRILLING AND WELL SERVICE CORPORATION FORM B 09a-DN NOTES TO THE INTERIM VND-CONVERTED SEPARATE FINANCIAL STATENENTS (Continued)
OWNER'S EQUITY
r Charter capital
According to the 17th amendment of the Business Registration Certificate, the Company's charter capital is VND 5,562,960,060,000, equivalent to USD 270,911,347. The number of shares which has been approved and issued by the Company is as below:
Number of | Closing balance VND | Numbef of shares | Opening balance VND | |
Authorised shares | 556,296,006 | 5,562,960,060,000 | 556,296,006 | 5,562,960,060,000 |
Issued shares | ||||
Ordinary shafes | 556,296,006 | 5,562,960,060,000 | 556,296,006 | 5,562,960,060,000 |
Treasury shares Ordinary shares | (416,000) | (4,160,000,000) | (416,000) | (4,160,000,000) |
r
r shares
Shares currently in circulation
Ordinary shares 555,880,006 5,558,800,060,000
555,880,006 5,558,800,060,000
Ordinary shares have a par vaue of VND 10,000. The Company has only one class of ordinary shares which carry no right to fixed dividend. Common shareholdefs will receive dividends at the time of declaration and be entitled to a voting right for each owned shafe at the shareholders' meeting. All shares rank equally with regard to the Company's residual assets.
Petrovietnam, the founding shareholder cum main shareholder of the Company, currently holds 280,496,572 shares, equivalent to 50.4% as at 30 June 2025 (as at 31 December 2024: the same) of total shares in circulation of the Company.