Conoco Bows Out As 'Shrink To Grow' Claims Another Victim

摘要

BMI View: There is little reason for Conoco to remain in Vietnam, which had become a marginal region for the company even before the failure of the Su Tu Vang oil feld. Retreat will allow the company to reduce debt and fund its planned share buyback. lowing the failure of the Su Tu Vang feld to live up to expectations, Conoco's Vietnamese assets offer little upside production potential and are becoming an increasingly marginal part of the company's portfolio. Selling out will help the company to refocus on more proftable operations as part of its 'shrink to grow' strategy, which aims to boost Conoco's long-term production growth rate to 2-3% from 2013.