The Vietnamese government has approved an agreement on joint oil exploration offshore the Beibu Gulf which was signed last year by China and Vietnam, Vietnam News Agency reported Thursday.

The deal, reached by the two firms, the China National Offshore Oil Corporation and the Vietnam Oil and Gas Corporation ( PetroVietnam) on Nov. 16, 2006, made it clear that the joint operation will be conducted in the bilaterally-accepted water territory in the gulf, the report said.

Vietnamese Prime Minister Nguyen Tan Dung has entrusted the PetroVietnam to work with relevant ministries and industries in developing the deal to make sure that the process will go in line with laws and economic benefits of Vietnam.

Source: Xinhua