Vietnam Begins Oil Drilling Despite Chinese Warnings in Disputed Waters

Strategic Energy Move

Vietnam has commenced oil drilling operations in the disputed Block 06-01, located off its southern coast but within China’s expansive “nine-dash line” claim. This bold move signals Hanoi’s determination to assert its maritime rights despite Beijing’s warnings.

Project Details

Drilling Operation

Location: 370km southeast of Vung Tau
Depth: 3,000 meters
Estimated reserves: 150 million barrels
Partners: Rosneft (Russia), ONGC (India)
Investment: $1.2 billion

Chinese Response

Formal diplomatic protest filed
Coast Guard vessels deployed
“Serious consequences” warned
Fishing fleet mobilization reported

Historical Context

Previous Confrontations

Vietnam’s energy exploration has repeatedly faced Chinese pressure:

2014: HD-981 oil rig crisis - violent protests
2017: Drilling suspended under pressure
2018: Spanish Repsol forced to withdraw
2020: Noble Corporation project cancelled

Current Calculations

What’s different in 2025:

Diversified partnerships: Russian and Indian backing
ASEAN coordination: Quiet support from neighbors
US engagement: Enhanced security cooperation
Economic necessity: Post-COVID recovery needs

Regional Energy Security

South China Sea Resources

190 trillion cubic feet of natural gas
11 billion barrels of oil (estimated)
10% of global fisheries
Critical shipping lanes

Competing Claims

Multiple overlapping claims create complex dynamics:

Vietnam’s EEZ under UNCLOS
China’s historical claims
Philippines’ adjacent blocks
Malaysia’s continental shelf
Brunei’s maritime zones

Strategic Implications

Energy Independence

Vietnam’s actions reflect:

Reducing energy imports (currently 30%)
Economic sovereignty assertion
Domestic political pressures
Regional leadership ambitions

Alliance Building

The project involves:

Russian technical expertise
Indian capital investment
Implicit US security backing
ASEAN diplomatic cover

Risk Assessment

Escalation Scenarios

Chinese interference: Physical blockade attempts
Gray zone tactics: Fishing fleet harassment
Economic pressure: Trade retaliation
Cyber attacks: Infrastructure targeting

Mitigation Strategies

International consortium protection
Transparency through media
Legal documentation via UNCLOS
Diplomatic engagement continuing

Conclusion

Vietnam’s drilling operation represents a calculated risk that could either establish new precedents for resource exploitation in disputed waters or trigger another round of dangerous confrontations. The involvement of Russian and Indian partners adds complexity to China’s response options, while the success or failure of this project will influence other claimants’ strategies in the South China Sea.