PTT Exploration and Production Public Co. Ltd. (PTTEP) is advancing plans to become operator of the Yadana gas project (Blocks M5 and M6) off Myanmar’s southwestern coast. In January, TotalEnergies SE noted plans to withdraw as operator and joint venture partners citing worsening human rights conditions (OGJ Online, Jan. 21, 2022).
PTEEP said it has carefully considered status of the field and said gas production continuity to prevent disruption to energy demand is of the utmost importance. Yadana “is a pivotal source of natural gas supply to the livelihood of the people in both Myanmar and Thailand,” the company said.
Yadana field produces around 6 billion cu m/yr gas of which about 70% is exported to Thailand where it is sold to PTT and 30% is retained by Burmese state-owned Myanmar Oil and Gas Enterprise (MOGE) for domestic use.
Operatorship transfer is expected to close July 20.
Under the production operating agreement, TotalEnergies’ share will be allocated proportionately to the remaining joint venture partners with no commercial value. After TotalEnergies’ withdrawal, PTTEP will hold 37.0842% participating interest, while a subsidiary of Chevron, Unocal Myanmar Offshore Co. Ltd. will hold 41.1016%.
