PTT Exploration and Production Public Company Limited (PTTEP), the upstream arm of Thailand’s state-run PTT Pcl, said it plans to spend an additional $3.3 billion on projects in Myanmar during 2014-18.
Thailand’s top oil and gas explorer, which has been operating in Myanmar for 25 years, has already invested $4 billion in the country.
PTTEP plans to spend a total of $16 billion for all regions over that period, the company said in a statement. The allocation for Myanmar will go towards seven exploration projects: Myanmar M11, Myanmar M3, MOGE 3, Myanmar PSC G and EP 2, and Myanmar MD-7 and MD-8.
PTTEP President and CEO Tevin Vongvanich said: “We’ve continually invested in Myanmar …. Our dedicated goal remains to conduct our business utilising both our expertise and experience in finding and developing petroleum resources for the benefit of both the Myanmar and Thailand.”
As of August, PTTEP’s cumulative production of natural gas and condensate from Myanmar acreages topped 1.26 trillion cubic feet and 9 million barrels, respectively.
The energy giant said its parent was keen to invest and develop energy-related infrastructure, refineries, gas pipelines, petrochemical and power plants in Myanmar.
PTTEP has been a joint venture partner in Myanmar’s two key offshore gas production projects – the Yadana and Yetagun – which came on line in 1995 and 1997, respectively.
The onshore Myanmar MOGE 3, Myanmar PSC G and EP 2 are PTTEP’s latest acquisition following the recent conclusion of a production sharing contract (PSC) to step up the company’s presence in the upstream works in Myanmar.
PTTEP, ranked among Asia’s top 10 explorers, is looking for overseas oil and gas assets to boost Thailand’s energy security. The country uses gas for almost 70 percent of its electricity generation.
Extensive exploration drilling program has started in Block PSC G and EP 2 and the firm said it will further expand into offshore areas late this year. PTTEP’s newest Myanmar offshore inclusion Zawtika gas field’s production has also been ramped up to 300 million cubic feet per day (MMSCFD) and is shared by both Thailand and Myanmar. PTTEP has an 80 percent stake in the project with a 20 percent share held by state-owned Myanma Oil and Gas Enterprise.