Thai Banpu to Pump $239mn in its US Shale Assets

Thai Banpu plans to invest about $293mn by 2020 in its US shale gas business, company CEO Somrudee Chaimongkol said, reported Bangkok Post July 18.

The company will use the money for capital expenditure to increase gas production in the Northeast Pennsylvania Area by 70% to 78mn Btu by 2020 from the current 46mn Btu, Bangkok Post quoted Chaimongkol as saying.

Banpu holds a 29.4% stake in the in the Chaffee Corners Joint Exploration Agreement (JEA). The JEA is 65.4%-owned and operated by Talisman Energy. The Thai firm bought the stake last year. Banpu made its second investment in the US shale gas business this year by picking up 10% in a shale gas asset in the same Marcellus shale belt in the Northeast Pennsylvania Area.

Banpu is Thailand’s biggest coal producer. These investments in the US helps it to diversify its area of operations as at present most are located in southeast Asia.

Shardul Sharma