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BSR can now process 40 crude grades, expanding flexibility to source feedstock across global regions.
Chevron Corporation (CVX - Free Report) and ExxonMobil Holdings Corporation (XOM - Free Report) are strengthening their potential participation in Vietnam’s energy market through separate agreements with Petrovietnam and its refining subsidiary. Petrovietnam and Chevron signed a framework cooperation agreement covering potential cooperation in crude oil, liquefied natural gas (“LNG”), liquefied petroleum gas (“LPG”) and refinery feedstock. Separately, Petrovietnam Refining and Petrochemical Corporation (“BSR”) signed a crude oil supply framework agreement with ExxonMobil Asia Pacific for the Dung Quat Refinery in central Vietnam.
These agreements come as BSR seeks to diversify its crude oil sources and improve the flexibility of Dung Quat Refinery amid changing global energy-market conditions. For Chevron and ExxonMobil, the developments could open additional opportunities to supply energy products to Vietnam while expanding their relationships with one of the country’s key energy companies.
ExxonMobil Agreement Adds Crude Supply Option
The agreement between BSR and ExxonMobil Asia Pacific is focused specifically on crude oil supply for the Dung Quat Refinery. According to Petrovietnam, the agreement is expected to help secure a minimum crude oil supply of 2 million barrels per year for the refinery. This provides BSR with another international source of feedstock as it works to strengthen supply security and reduce reliance on traditional sources.
BSR has been actively expanding its crude supply network in 2026. The company said it has been evaluating crude sources from multiple regions, including the United States. In 2025, Dung Quat Refinery imported approximately 8.28 million metric tons of crude oil, with imported crude accounting for about 31% of total feedstock. For 2026, BSR expects imported crude to represent approximately 15% of its feedstock, with supplies coming from regions such as West Africa, the Mediterranean and Southeast Asia.
The addition of ExxonMobil as a potential supply partner could therefore further diversify BSR’s feedstock portfolio and provide greater flexibility in crude procurement.
BSR has also expanded the number of crude grades that Dung Quat can process. Since the beginning of 2026, the refinery has successfully tested three additional crude types, bringing its total processing capability to 40 grades, including 12 domestic and 28 imported grades.
The refinery has also developed the capability to process Nigeria’s Erha crude at a maximum blending ratio of approximately 45% by volume. In addition, BSR can process Sao Vang-Dai Nguyet condensate at up to approximately 12% by volume.
A broader crude basket should allow BSR to select feedstock based on availability, pricing and refinery economics. This flexibility could become increasingly important when crude markets face supply disruptions or significant price differences between grades and regions.
For ExxonMobil, the broader processing capability at Dung Quat potentially creates more flexibility in supplying crude that meets the refinery’s specifications. However, the 2-million-barrel annual figure disclosed by Petrovietnam represents a minimum supply level, and the financial value and detailed delivery schedule of the agreement have not been disclosed.
Chevron Framework Covers Multiple Energy Areas
Chevron’s agreement with Petrovietnam is broader than the ExxonMobil arrangement. The two companies established a formal framework for cooperation that could support diversification of Vietnam’s sources of crude oil, LNG, LPG and refinery feedstock. The framework also includes potential cooperation in import infrastructure, energy storage, financial and commercial solutions, technology and emissions reduction.
BSR separately stated that it had signed crude oil supply agreements with Chevron as part of its efforts to secure stable refinery feedstock. This indicates that Chevron’s relationship with Vietnam could extend beyond the broader Petrovietnam framework and include opportunities related to crude supply for Dung Quat.
For Chevron, participation across crude, LNG and LPG supply could provide additional commercial opportunities in Vietnam’s energy market. The company’s global supply, transportation and energy-marketing capabilities could also support potential cooperation in infrastructure and other areas identified under the framework.
What It Means for CVX and XOM
Vietnam’s efforts to diversify crude supplies could create incremental opportunities for international energy companies as BSR strengthens the feedstock flexibility of Dung Quat Refinery. The refinery’s ability to process a growing range of crude grades should provide greater scope to source barrels from different regions based on market conditions.
For ExxonMobil, the agreement provides a potential outlet for at least 2 million barrels of crude annually while strengthening its relationship with BSR. For Chevron, the broader framework creates potential opportunities across several segments of Vietnam’s energy value chain, including crude oil, LNG, LPG and supporting infrastructure.
The agreements do not yet provide enough information to assess their direct financial impact on CVX or XOM. Investors should monitor additional announcements regarding actual crude volumes, pricing, delivery schedules and the implementation of the broader Chevron cooperation framework. These developments will determine the extent to which the agreements translate into meaningful revenues and earnings opportunities for the two energy majors.
CVX's Zacks Rank & Key Picks
Currently, CVX and XOM have a Zacks Rank #3 (Hold) each.
Magnolia Oil & Gas is valued at $5.62 billion. It is an independent oil and natural gas company focused on the acquisition, development, exploration and production of oil, natural gas and NGLs in South Texas. Magnolia Oil & Gas’ operations are concentrated in the Eagle Ford Shale and Austin Chalk formations across the Karnes and Giddings areas.
Delek US Holdings is valued at $4.13 billion. It is a diversified downstream energy company engaged in petroleum refining, renewable fuels, asphalt production and logistics operations. Delek US Holdings operates multiple refineries in the United States and is committed to delivering safe, reliable energy while investing in cleaner energy initiatives.
View the Zacks #1 Rank List
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Chevron & ExxonMobil Ink Potential Crude Supply Deals With Vietnam
Key Takeaways
Chevron Corporation (CVX - Free Report) and ExxonMobil Holdings Corporation (XOM - Free Report) are strengthening their potential participation in Vietnam’s energy market through separate agreements with Petrovietnam and its refining subsidiary. Petrovietnam and Chevron signed a framework cooperation agreement covering potential cooperation in crude oil, liquefied natural gas (“LNG”), liquefied petroleum gas (“LPG”) and refinery feedstock. Separately, Petrovietnam Refining and Petrochemical Corporation (“BSR”) signed a crude oil supply framework agreement with ExxonMobil Asia Pacific for the Dung Quat Refinery in central Vietnam.
These agreements come as BSR seeks to diversify its crude oil sources and improve the flexibility of Dung Quat Refinery amid changing global energy-market conditions. For Chevron and ExxonMobil, the developments could open additional opportunities to supply energy products to Vietnam while expanding their relationships with one of the country’s key energy companies.
ExxonMobil Agreement Adds Crude Supply Option
The agreement between BSR and ExxonMobil Asia Pacific is focused specifically on crude oil supply for the Dung Quat Refinery. According to Petrovietnam, the agreement is expected to help secure a minimum crude oil supply of 2 million barrels per year for the refinery. This provides BSR with another international source of feedstock as it works to strengthen supply security and reduce reliance on traditional sources.
BSR has been actively expanding its crude supply network in 2026. The company said it has been evaluating crude sources from multiple regions, including the United States. In 2025, Dung Quat Refinery imported approximately 8.28 million metric tons of crude oil, with imported crude accounting for about 31% of total feedstock. For 2026, BSR expects imported crude to represent approximately 15% of its feedstock, with supplies coming from regions such as West Africa, the Mediterranean and Southeast Asia.
The addition of ExxonMobil as a potential supply partner could therefore further diversify BSR’s feedstock portfolio and provide greater flexibility in crude procurement.
Broader Crude Basket Improves Refinery Flexibility
BSR has also expanded the number of crude grades that Dung Quat can process. Since the beginning of 2026, the refinery has successfully tested three additional crude types, bringing its total processing capability to 40 grades, including 12 domestic and 28 imported grades.
The refinery has also developed the capability to process Nigeria’s Erha crude at a maximum blending ratio of approximately 45% by volume. In addition, BSR can process Sao Vang-Dai Nguyet condensate at up to approximately 12% by volume.
A broader crude basket should allow BSR to select feedstock based on availability, pricing and refinery economics. This flexibility could become increasingly important when crude markets face supply disruptions or significant price differences between grades and regions.
For ExxonMobil, the broader processing capability at Dung Quat potentially creates more flexibility in supplying crude that meets the refinery’s specifications. However, the 2-million-barrel annual figure disclosed by Petrovietnam represents a minimum supply level, and the financial value and detailed delivery schedule of the agreement have not been disclosed.
Chevron Framework Covers Multiple Energy Areas
Chevron’s agreement with Petrovietnam is broader than the ExxonMobil arrangement. The two companies established a formal framework for cooperation that could support diversification of Vietnam’s sources of crude oil, LNG, LPG and refinery feedstock. The framework also includes potential cooperation in import infrastructure, energy storage, financial and commercial solutions, technology and emissions reduction.
BSR separately stated that it had signed crude oil supply agreements with Chevron as part of its efforts to secure stable refinery feedstock. This indicates that Chevron’s relationship with Vietnam could extend beyond the broader Petrovietnam framework and include opportunities related to crude supply for Dung Quat.
For Chevron, participation across crude, LNG and LPG supply could provide additional commercial opportunities in Vietnam’s energy market. The company’s global supply, transportation and energy-marketing capabilities could also support potential cooperation in infrastructure and other areas identified under the framework.
What It Means for CVX and XOM
Vietnam’s efforts to diversify crude supplies could create incremental opportunities for international energy companies as BSR strengthens the feedstock flexibility of Dung Quat Refinery. The refinery’s ability to process a growing range of crude grades should provide greater scope to source barrels from different regions based on market conditions.
For ExxonMobil, the agreement provides a potential outlet for at least 2 million barrels of crude annually while strengthening its relationship with BSR. For Chevron, the broader framework creates potential opportunities across several segments of Vietnam’s energy value chain, including crude oil, LNG, LPG and supporting infrastructure.
The agreements do not yet provide enough information to assess their direct financial impact on CVX or XOM. Investors should monitor additional announcements regarding actual crude volumes, pricing, delivery schedules and the implementation of the broader Chevron cooperation framework. These developments will determine the extent to which the agreements translate into meaningful revenues and earnings opportunities for the two energy majors.
CVX's Zacks Rank & Key Picks
Currently, CVX and XOM have a Zacks Rank #3 (Hold) each.
Investors interested in the energy sector might consider some better-ranked stocks, such as Magnolia Oil & Gas Corp (MGY - Free Report) and Delek US Holdings (DK - Free Report) , both sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Magnolia Oil & Gas is valued at $5.62 billion. It is an independent oil and natural gas company focused on the acquisition, development, exploration and production of oil, natural gas and NGLs in South Texas. Magnolia Oil & Gas’ operations are concentrated in the Eagle Ford Shale and Austin Chalk formations across the Karnes and Giddings areas.
Delek US Holdings is valued at $4.13 billion. It is a diversified downstream energy company engaged in petroleum refining, renewable fuels, asphalt production and logistics operations. Delek US Holdings operates multiple refineries in the United States and is committed to delivering safe, reliable energy while investing in cleaner energy initiatives.