Myanmar to export gas to Thailand from 2013
Thailand and Myanmar will start commercial gas production from offshore Block M9 natural gas project on the Gulf of Martaban, south of Yangon in late 2013. Thailand’s PTT Exploration and Production (PTTEP) (PTTE.BK) was expected to sign a gas sales agreement with parent company PTT PCL (PTT.BK) by the fourth quarter of this year, Energy Minister Wannarat Charnnukul told reporters.
PTTEP is expected to supply an initial 300 million cubic feet per day (mmcfd) from M9, of which 240 mmcfd would be delivered to Thailand and the rest to Myanmar, Wannarat said. A PTTEP subsidiary owns 100% of Block M9, which lies about 300 kilometres south of Yangon. It is believed to hold reserves of 1.5 trillion cubic feet and needs at least $1 billion for investment, he said.
The negotiation was earlier delayed due to the economic crisis and the decreasing demand for electricity and gas, said the energy minister.