Vietnam 11-2

KNOC celebrated the completion of the Rong Doi gas field in Block 11-2 in Vietnam on November 17, 2006. The first-ever success story in the independent development of gas fields by a Korean company, Rong Doi began production on December 25, following the construction of such production facilities as platforms, pipelines and a floating storage and offloading (FSO) vessel--all in less than two years. In addition to being Korea’s first overseas
gas field development project, each step of the entire process, from the initial acquisition of exploration rights to final production, was accomplished solely by Korean echnologies and capital. The Vietnam 11-2 block is estimated to have an annual capacity of 47.5 billion cubic feet of natural gas and 1.53 million barrels of condensate, which will generate net earnings of approximately USD 0.5 billion over the next 23 years.