PTTEP Close to Myanmar Exploration Deal

PTT Exploration and Production Plc (PTTEP) expects to sign an agreement with Myanmar this month to explore for oil and gas in the PSC-G and EP2 onshore petroleum blocks, Bangkok Post said Wednesday.

"Myanmar is our core market for exploration and production in Southeast Asia," said chief executive Anon Sirisaengtaksin.

The unit of PTT Plc, Thailand's largest energy conglomerate, was last month awarded licences for the two blocks, which cover a combined area of 13,000 square kilometres.

PTTEP is already developing the M9 gas block in the Gulf of Martaban, with production of 300 million cubic feet per day expected by the end of next year.

Of that amount, 80% will be exported to Thailand and the rest consumed domestically.

The company is also proceeding with a $2-billion plan to develop a gas-production facility and a 300-kilometre gas pipeline in the Gulf of Martaban.

The Yadana and Yetakun gas fields now export a combined 1.1 billion cfpd to Thailand, while Zawtika will start exporting to here next year.

In Thailand, PTTEP will begin commercial production from the Bongkot South gas block by midyear, pumping 320 million cfpd, said Anon.